A Study On The Financial Pressure And System Innovation Of Counties & Townships Government

The system constructs an incentive mechanism of political or economic trading activity, the economic growth and social development of a country or an area must be explained with system factor. The system is an important cause of the different area economic development and growth disparity, even more, it is the main reason which causes regional financial state difference. This article tries to study financial difficulty and administrative changes in terms of system.The counties & townships financial difficulty is an outstanding question in the finance of our country in recent years, it is shaped through a series of links in the contradiction between in and out, its production has a deep system reason. The incongruous state of financial resources which were assigned initially is not corrected in the transfer payment link, with reducing of finance rate, the inferior position that the finance at the basic level is obvious gradually in the financial relation among the governments, the deficit gathered has formed the enormous financial pressure. What the counties & townships finance adopted is the countermeasure of throwing out public expenditure responsibility and regarding debt as the main channel of releasing the pressure.The contradiction of arranging in the endogenous high-efficient motive and external poor efficiency in the finance at the basic level causes the expenditure behavior to twist under the predicament, thus, leads to spontaneous system changes. It can not form the abundant system balance, the system supply can reach the optimum level through the government implement mandatory system innovation. This text combines the positive research operated to several counties & townships government finance, such as Dingxi of Gansu Province etc, analyses deeply the mechanism and course of above-mentioned systems changes, proposes several policy recommendations alleviating the financial pressure and realizing system innovation, according to the ubiquitous financial difficulty of county township.