Li et al. (37) found that government regulation plays an important role in PPP projects through a study of the green innovation behaviors of construction companies (37). Liu et al. (38) elucidated the relationship between government regulation and firm participation through a game study of manufacturers “Green-washing” behaviors (38). Zou et al. (39) studied the evolutionary game of government participation in low-carbon technology innovation to provide a reference for further improving the theory of green development (39).
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In addition, in the PPP older adult care project, public participation can not only promote government efficiency but also affect the effective operation of the project. (2) The government should adopt a regulatory strategy that combines subsidy and penalty strategies. Both the single subsidy policy and the penalty policy are too one-sided to give full play to the role of government regulation in the PPP older adult care project. Local governments should formulate flexible subsidy policies and dynamic penalty policies to promote the participation of the private sector in rural older adult care services and restrain their speculative behavior. Figure 3 shows the impact of the participation of the local government and private sector on the strategic choices of local governments.
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Government regulation measures for traditional rural older adult care projects have relied mainly on government subsidies. For example, China’s Old Age Pension Fund project and Japan’s Rural In-Home Pension project are both initiated and managed by local governments, but both have encountered economic challenges in the regulatory process (10). PPP older adult care projects can reduce the government’s financial pressure compared to traditional rural older adult care projects, but visit Euro Girl Escort the private sector is also prone to speculative behavior. So, some scholars have pointed out that the government needs to adopt a combination of incentives and penalties for PPP projects, rewarding the private sector for providing quality services and punishing the private sector for opportunistic behavior (11). Sabry pointed out that how and when to implement the monitoring strategy or subsidy strategy has a decisive impact on the success or failure of PPP cooperation (12).
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Through an analysis of Japan’s “Time Bank” care project, Kim found that the private sector’s support visit Euro Girl Escort for the older adult plays an important role in compensating for the current shortage of older adult care workers and the weakening of traditional family care functions (24). Similarly, Morgan also said that rural older adult services with private sector involvement could provide more human resources for the older adult (25). However, there are several unresolved problems in the operation of public–private older adult care projects. One is that service providers are prone to moral hazard issues that lower the standards of the services they provide. Xia (26) found that the participation rate of the older adult in PPP older adult care services is low, and satisfaction with service accessibility remains to be improved (26). Sudo et al. (27) argued that older adult care organizations are in a powerful position to provide services and may engage in speculative behavior, making what is offered inconsistent with the needs of residents (27).