The Fiscal Transfer Policy For The Rising Of Middle Area In China

The middle area holds the important status in the economic development of our country. But in the recent 10 years, its economic development has stagnated. The middle area's subsidence will pose an overall damage to the development of our country. It is a great strategic decision to promote middle area's rise in China. Middle area's rising is the intrinsic need for the regional economic development of our country and harmonious society construction.How to rise, however, is a pressing task for the people in middle area to think about. Fiscal transfer payment system is a general means adopted by other countries to coordinate fiscal allocations, to ensure the equality of social public service between different regions. Furthermore, it also is an important macroeconomic policy taken by governments to coordinate the development of different region's economy.Firstly, this paper comparative analyses middle area, east and western area economy development disparity in order to confirm Central China subsidence by economic indicator. Then recommends especially the regional economy coordinates theory, analyses the transfer policies of the oversea countries, draws some successful experiences, uses fiscal self-sufficiency ability coefficient and the standard levels of the difference rate and other indexes, analyses the current financial shift payment performance. On the base of all of these, this paper has arrived to some conclusions. In the process of designing the transfer policy to promote the rising of the middle area, we must set up the transfer payment mode combined vertically and horizontally. In the choice of the transfer payment form, rely mainly on transfer payment unconditionally, and take conditional transfer payment as complement. Design scientific shift payment plan to promote the middle area's agriculture development, improve the middle area's investment environment, optimize the middle area's industrial structure, enhance the middle area's own economy development abilities of competition in the market. Finally, this paper discussed other policies that designed to promote the rising of the middle area and explained the coordination.