Dual game in state-owned enterprise property right evolution in China

The privatization reform of state-owned companies has been drawing much attention in the past 30-odd years of reform and opening-up. Based on the complete information dynamic game theory, the present paper introduces three factors to the decision-making function, namely, the knowledge of institution, the acceptability of ideology, and the pressure of unemployment. It attempts to explain the whole course of state-owned companies' property right evolution with endogenous mechanism, and advances that the property right reform of the state-owned enterprise would have an optimistic prospect of all-privatized situation.