Based on the prospect theory, this paper establishes an evolutionary game model of government and construction units for the problem of poor subsidy construction of government-subsidized construction units and uses the replication dynamic equation to analyse the strategic choice of evolutionary games. The research shows that the evolutionary game system of the construction unit and the government cannot meet the government incentives, and the construction unit also adopts the stable state of the prefabricated building. In the long run, the government subsidy cannot determine whether or not the construction unit will adopt the prefabricated building, and it is the construction cost of the prefabricated building that determines. Therefore, the government's work should shift from subsidies to targeted incentives forconstruction units to reduce the cost of construction of prefabricated buildings. The unit levies an environmental tax and appropriately restricts the income from the traditional cast-in-place construction units, and, on the other hand, it increases the popularization of low-carbon and environmental protection of the fabricated buildings, so that more consumers can recognize the environmental benefits brought by the assembled buildings. It provides a reference for the government to promote the development of prefabricated buildings.

The generation of construction and demolition waste (CDW) is a problem for societies aspiring to sustainability. In this regard, governments have the responsibility to support the CDW recycling through subsidies. However, the information asymmetry, as well as the “dynamic nature” of the CDW recycling market, results in a number of barriers for the government to promote CDW recycling. In this paper, we establish a mathematical model that includes the government and the recycling enterprise in the presence of dual information asymmetry including the unknown recycling technology level and unobservable recycling efforts in one-stage and two-stage cooperation. Using the incentive theory, the static and dynamic optimal recycling incentive contracts of the government were designed, and the optimal decisions of the recycler were identified. A numerical simulation revealed that by designing reasonable contracts, the government can encourage the recycler to report the true technical level and achieve information screening. Furthermore, the subsidy of the high-tech recycler remained unchanged under different circumstances. However, the subsidy of the low-tech recycler was closely related to the probability of misreporting and the proportion of technology types. This finding suggests that the government and recycler are inclined towards long-term dynamic cooperation.

The improvement of China’s new energy automobile technology is one of the most pressing issues for the government and manufacturers, given that the existing new energy automobile subsidy policy is about to be withdrawn completely. Considering that the manufacturer has the private information of the initial technology level of new energy vehicles, its technology can be improved by means of technological innovation. Using principal–agent and regulation theory, this paper studies how the government designs incentive contracts to motivate manufacturers to strive to upgrade new energy automotive technology. The study has obtained a quantitative incentive contract under full information and a quantitative screening contract with asymmetric information, which provides an effective reference for the design of government subsidy contracts. It was found that the existence of asymmetric information reduces the expected net utility of the government in incentive projects, and the technology upgrading of low-level manufacturers is insufficient, but will not affect the technology upgrading of high-level manufacturers who will get information rent. The conclusion has good reference value and guiding significance for government policy-making with asymmetric information.