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In recent years, greater efforts in tax preference policy for energy conservation and emission reduction (ECER) have been implemented in our country. Based on the tax preference of enterprise income for comprehensive utilization of resources, the constraints to achieve completely successful equilibrium are studied in the single period and multiple periods. In the single period, the key to achieve separating equilibrium is analyzed carefully by constructing a signaling game model of enterprises and government on tax preference of enterprise income. In the multiple periods, with the stochastic evolutionary game model based on the stochastic differential equation (SDE) theory, the constraints of keeping the separating equilibrium stable and continuing in a long term will be further investigated. It gives the optimal number of tax preference of enterprise income, camouflage cost and expected cost of risk under the state of separating equilibrium. The optimal result of completely successful equilibrium is obtained in single period by the analysis of numerical example for enterprises and government signaling game model. The simulation experiment is successfully finished to test the effectiveness of the stochastic evolutionary game model by using mathematical software MATLAB.

Game model of enterprises and government based on the tax preference policy for energy conservation and emission reduction