Abstract
With rapid development of urbanization after China’s reform and opening up, the transfer payment system has been reformed and improved constantly since it was implemented in 1995. But through empirical analysis on the implementation effect in this article, we find that the objective of China’s transfer payment system is not effective realized. After further discussion on the current transfer payment system and problem analysis, we find there still are defects in the structure setting, measuring system, capital allocation method and other aspects. As a result, the article takes factor method as the breakthrough point to further reform and optimizes the current transfer payment system, and gives the corresponding countermeasures and suggestions to promote the healthy development of China’s urbanization.
Highlights
With the speed development of urbanization since 1980s, China’s economy, science, technology, education, culture and other industries have developed rapidly, and have made remarkable achievements
From 1993 to 2013, the proportion of revenue in GDP was improved from 12.6% to 22.7%, the proportion of central government revenue in national revenue was improved from 22% to 46.6%; China has sufficient fiscal resources to carry out transfer payment
Supposing the government departments are efficient in the public service activities, and financial resources supply is the main factor influencing the equality of basic public services, the variation coefficient of urbanization level, fiscal expenditure per capita, and basic public services expenditure per capita can reflect the regional differences in the levels of urbanization and basic public services
Summary
With the speed development of urbanization since 1980s, China’s economy, science, technology, education, culture and other industries have developed rapidly, and have made remarkable achievements. For the transformation of the development mode and improvement of the quality of urbanization, the central government has greatly increased its support to local finance and the transfer payments. In the strategy transition period of new urbanization, this article takes factor method as a breakthrough point, deep explored the reform direction of China’s transfer payment system to improve its nature of scientific, normative, transparency and fairness, and to really play the function of balancing regional development difference. The potential innovation of this article is to analyze the implementation effect and existing defect of China’s transfer payment system after establishment from the unique point of view of new urbanization, and on this basis propose the breakthrough point of factor method to reform the transfer payment system. Fiscal, some effects have been achieved in fetching up the gap of local financial resources and promoting regional economic development [3]. We found that the equalization function of transfer payment didn’t reach the desired effect
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