Analysis To Municipal Financial Effect On Economy Of Northern Jiangsu

Nowadays, the economy of underdeveloped area of china is a kind of immature market economy, which needs to be cultivated,guided and safeguarded by government. If the underdeveloped area wants to accelerate its economy, the municipal finance must give a full play to financial policy. This article analyzes the difference of economy and finance in Southern Jiangsu and Northern Jiangsu, and the reason of the difference, discusses the policy choice of local finance, which speeds up the development of regional economy. It is not only an attempt to theory discussion, but also the need of practice.This thesis includes three parts. Part One: studies the relationship of market economy and public finance, such as market economy with governmental economic function,the regional character of local financial policy. Part Two: analyzes the difference of economy and finance in Southern Jiangsu and Northern Jiangsu, and the reason that created difference. Part Three: puts forward the choice of financial policies to promote economic development of Northern Jiangsu, such as constitution of scientific transfer payment system,perfecting the policy of revenue and financial liability,reforming the system of local financial investment and financing,supporting the development of medium-and-small-sized enterprises.