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Number 6, 2013 back

“Contract City”Mode and Its Significance for Cities of China: The Case of Lakewood, The USA
Wang Pingping


Abstract:

As a model for self-government in the US suburbs , Lakewood was famous for the Lakewood Plan which first pro-posed the government to outsource muni-cipal services. “Contract city“ mode, which developed the idea of the Lakewood Plan, refers to a kind of admin-istration, which is carried out by the contract that signed betweena city and a market player who has won the market competition after the public service was put into the market. With market competition, the mode cleverly reduced the service cost of the main city, maxi-mized the safeguard of citizens’ interests, and benefitted the market player who won the market com-petition. Since the birth of “Contract city” mode, not only has it brought innovation to the US local govern-ment manage-ment, but also changed the regional structure to a great extent. Cities of China, which are in the period of develop-ing and reforming, should adjust measures to local conditions, learn the effectiveness of “contract city“ model and notice the limits. Sequentially, cities of China will convert their future from passive development into active competition.

Keywords:

Contract City; Lakewood Plan; Municipal Service OutsourcingPublic Choice Economics; Suburbanization; America;

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