Research On Economic Performance Of Local Government Investment

Local government is the key subject to achieve high-quality economic development,and investment is a common means to achieve its goals.The effectiveness of local government investment on economic growth has been well explained in both theory and practice,Will there be new changes if we rethink this issue from the perspective of economic development quality?To answer this question is of theoretical and practical significance to the adjustment of local government investment under the demand of high-quality economic development.Based on this,this paper analyzes the logic of local government action and financial response,the effectiveness of government investment and the role of local government investment in the transformation of economic development stage from the theoretical and literature perspective,so as to provide a theoretical cognitive basis for exploring the realization of economic performance of local government investment.Also,in order to answer the above questions,this paper uses panel data model,dynamic panel model,panel threshold model,mediating effect model and moderating effect model with interaction term to explain and answer the following contents:First of all,by re evaluating the economic performance of local government investment,we can understand the status quo of the role of local government investment and determine the direction of future adjustmen;Furthermore,by exploring "the mechanism of local government investment to achieve high-quality economic development" and "the key factors affecting the economic performance of local government investment",this paper analyzes the key content and means of local government investment governance,and provides empirical evidence for the construction of governance framework and the precipitation of implementation path.The results show that:First,local government investment in China can still reflect good economic performance in economic growth,but it is not effective in quality growth.A more detailed analysis shows that with the improvement of economic development and marketization level,the positive effect of local government investment on economic growth is marginal decreasing,while the negative effect on the quality of economic development is marginal increasing,which indicates that local government investment has no adaptive adjustment matching with the stage of economic development,and can not effectively couple the core demand of high-quality economic development.In view of this,it is particularly important to remove the obstacles of local government investment to high-quality economic development.Second,combined with theory and practice,the paper abstracts three mechanisms of local government investment to achieve high-quality economic development,which are "making up for the shortage of infrastructure","adjust the rationality of industrial structure" and "stimulate the vitality of social capital",and analyzes the effectiveness of the mechanism with the help of intermediary effect model.The results show that the local government investment can not achieve high-quality economic development in the mechanism of "making up for the shortage of infrastructure",that is,doing nothing;while the two mechanisms of "adjusting the rationality of industrial structure" and "stimulate the vitality of social capital" have negative effects,that is,confusing the structure and restraining the vitality.Therefore,it is also the key to support the mechanism of local government investment to achieve high-quality economic development.Third,the empirical research is carried out around the three key factors of economic growth incentive,fiscal decentralization and fiscal governance,which affect the investment behavior of local governments.It is found that the horizontal competitive incentive leads to the consequence that the investment of local governments reduces the quality of economic development,so does the fiscal expenditure decentralization and imbalance of financial system.On the contrary,the governance of local government investment should be enhanced only financial audit can significantly improve the positive effect of local government investment on the quality of economic development,while the role of financial transparency and financial legal system is not obvious.Therefore,the effectiveness of governance measures is another key to play the role of local government investment in promoting high-quality economic development.Based on the research conclusion,the paper thinks that we should strengthen the guidance of high-quality economic development,guide local government investment behavior,strengthen the whole process management of government investment,promote the quality and efficiency of investment activities,govern local government behavior,restrict and correct behavior deviation,so as to improve the economic performance of local government investment...