Study on Equilibrium Relationship Between Government Regulation and Social Environmental Responsibility of Energy Enterprises

Abstract

This paper uses the evolutionary game model to analyze the relationship between government regulation and social environmental responsibility of energy enterprises. Then, we use the Matlab to simulate the dynamic change between government regulation and social environmental responsibility of energy enterprises. The conclusion of the study shows that: (1) The strategic choice based on corporate social environmental responsibility is must be the green technology innovation, and if we want to the maximum profit, we need to find a balance between government regulation and corporate social environmental responsibility. (2) Whether the government supervises enterprise, whether an enterprise fulfills its social environmental responsibility, depends on the specific circumstances. We must take an overall consideration of the cost of government, the bonuses, and penalties, the corporate different earnings because of different choices between fulfills and defaults its social responsibility, the bonuses the company achieved, the penalties the company must pay, and many other factors. The main contribution of this thesis is: break through the static research about the relationship between government and energy enterprise. We acquire the dynamic relation between government and energy enterprise based on green technology innovation. And it provides great help for our energy companies future direction of development.

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