Improvement Study on the Cost Control Model of Agent Construction of Governmental Investment Project

To compensate the inadequacies of traditional cost control model of the agent construction based on the principal-agent theory， this study improves the model starting from two perspectives: contract price quantification and punishment coefficient. Firstly， both sides give their own prices， based on which， setting up to adjust and calculate， the contract price is determined; secondly， the punishment coefficient is increased to prompt the agent construction together with the reward coefficient， and then the cost control model is built and the function relationship between the punishment coefficient and reward coefficient is found out. Finally a case is given， which proves the result is improved obviously with the improved model compared with the traditional one.