Research On Probolem Of Local Government Investment In China

Currently,not only the economy leading effect on local government cannot be fully exerted because of many restriction factors of local government investment system,but also the problem on non-rational investment appears increasingly,and the investment scale expanding is deteriorated continuously as well as the investment benefit. How to treat and solve these problem among the process of local government investment becomes the urgent affair to practise the macro regulation and control effectively and to keep the national economy developing healthily. So,studying on the problem and giving out relative solving policies will do great and practical benefit on achieving the harmonious development of region economy.This article researchs on local government investment,and study the problems of local government investment during economy modle changing period rationally with the criterion analyzing method. Firstly,bring out"market malfunction"and"market deformity",the two theory gists of government investment,and discuss on public finance and local government investment scope. Secondly,make basic appraisement on local government investment during economy modle changing period. Analyse the active and negative influences on economy by local government investment,probe into the basic characteristics,point out the specific problem,and find root for the impulsion on local government investment. Lastly,bring forward the policies that can to be chosen to optimize local government investment,including the followings: the first,make better arrangement on functions of local government investment; the second,strengthen the restriction on local government investment; the third,fasten the finance system innovation and improve the central macro-control system; the forth,deepen local government investment system innovation and local government investment behaviour; the fifth,set up and improve the administration system of local government investment.