Environmental Quality Cost Control Modeling Based on Power Battery Recycling

Abstract:

Based on agent theories and game theories, we built an environmental quality cost control model of waste battery under symmetric information, unilateral moral risk environmental quality control model of waste battery recyclers under asymmetric information, and government unilateral moral risk environmental quality test cost control model separately. Moreover, we calculated and analyzed the data with Matlab. The results show that under symmetric information, there is common optimal environmental quality cost prevention level and environmental quality test level for both government and recyclers; with asymmetric information, no matter when the government or recyclers exists unilateral moral risk, recyclers have always been in negative income status during environmental quality control process, and so to the joint average income of the entire reverse supply chain.

Key words:environmental quality cost; game theory; principal agent relationship; power battery recycling