Fiscal Expenditure Efficiency Measurement and Its Convergence Analysis on Aging Undertakings in China: Based on a Global Super-Efficiency Slacks-Based Measure Model

Abstract

As the aging of China’s population continues to intensify as well as deepen, and fiscal support continues to increase, improving the efficiency of fiscal expenditure on aging undertakings has become the key to actively responding to the national strategy of sustainable population aging. This paper uses a global super-efficiency slacks-based measure model to measure the efficiency of fiscal expenditure on aging undertakings in China from 2011 to 2020. The results show, firstly, that the efficiency values are generally increasing. The eastern region’s fiscal expenditure efficiency has output deficiencies overall; all western, central, except Anhui, and northeast, except Jilin, provinces have input redundancies and output shortages. Secondly, the relatively effective provinces in terms of aging undertakings are mainly concentrated in the eastern coastal region; the number of effective provinces in the northeast is gradually increasing. Thirdly, excluding the eastern region, the efficiency values for all regions show a convergence trend; when controlling for region-specific influencing factors, the efficiency values of each region will converge to their respective steady-state levels. It is concluded that the trend in the fiscal management of aging undertakings in China is positive, and the levels of fiscal management as well as technology are higher in the east, lower in the west, less stable in the central, and more progressive in the northeast.