关键词: 监管, 竞争环境, 检查策略, 博弈论

Abstract: Regulating multiple companies in a competitive environment is much more complex than regulating a single company in a non-competitive environment. The number of companies not following regulations significantly impacts whether other companies stick to the rules. Using an effective regulation strategy is particularly important. The inspection mechanism is one of the most widely used mechanisms. This paper analyzes and compares the two fundamental inspection mechanisms for two competing companies: thorough checking and uniform checking. Under a thorough checking strategy, the regulator either checks all companies or does not check at all. Under a uniform checking strategy, the regulator decides to check each company independently. As usual, we adopt a game model to find the equilibrium under two inspection strategies and compare two inspection strategies from the perspective of the regulator. The result indicates that the more intensive the competition of companies is, the more suitable for the regulator to adopt the thorough checking strategy.

Key words: Regulation, Competition environment , Inspection strategy, Game theory