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Research on the Mechanism of the Economic Compensation to Prefabricated Building Based on the Loss of Developers’ Revenue

Yang Chen (), Hao Wu and Jiuxia Tan
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Yang Chen: Chongqing Jiaotong University
Hao Wu: Chongqing Jiaotong University
Jiuxia Tan: Chongqing Jiaotong University

A chapter in Proceedings of the 23rd International Symposium on Advancement of Construction Management and Real Estate, 2021, pp 1282-1294 from Springer

Abstract: Abstract The development of prefabricated building in China is not smooth, the policy system is not perfect, and the incremental cost is too high. Therefore, the establishment of a scientific and effective incentive mechanism is an important factor to promote the healthy development of prefabricated building. Based on the definition of incremental cost, this paper puts forward the economic compensation mechanism based on the loss of developers’ revenue; By analyzing the source and characteristics of the revenue loss of the developers, the composition of the profit loss of the prefabricated building is summarized; The profit function is constructed by using the C-D production function, and the loss compensation line is discussed; The economic, environmental and social effects of the assembly building are analyzed, and the model of the developer and the government is set up to establish an incentive mechanism for the prefabricated building based on the loss of revenue.

Keywords: Prefabricated building; Loss of revenue; Apportionment model; Incentive (search for similar items in EconPapers)
Date: 2021
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Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-981-15-3977-0_99

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DOI: 10.1007/978-981-15-3977-0_99

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