Study On Local Government's Investment Promotion

Investment promotion is economic behavior with executive color that the government finds investors to invest in its area. Investment began in the beginning of the reform in the 80s of the 20th century and has gone through nearly 30 years. In this process, local government investment promotion has gradually become the leader.On the one hand, market mechanism plays a role of a fundamental premise of resources allocation, local government fully plays functions within the region, overcomes market failure in some area by executive and tax etc. to guide the rational transformation of industrial structure and raise economic efficiency. Therefore, investment promotion has a practical significance as an important development tool. On the other hand, local government violates the economic development law in the investment promotion process, problems and defects that exposed can not be ignored. Dislocation of the role of government led to administrative inefficiency. At the same time, local government is directly involved in the investment promotion resulting in unfair competition criticized by people. Blind overheating and lack of control to some extent also affect the development of the local macro-economy and ecological effects. In view of these shortcomings, local government should change the investment promotion functions, establish service-oriented government philosophy, gradually convert from participants of micro-economic activities to makers and implementers of laws and regulations of investment promotion, and public service providers and major economic relations adjusters in corporate activities that required, and create a fair investment promotion environment and favorable development environment for the companies.This article bases on local practice, analyzes the actual situation that China's local governments faced in the administration process, particularly selects the effectiveness and problems in the investment promotion process of Zhoukou government as a sample to analyze the common cause and counter measures of local government's investment promotion functions, discusses that the local government's self orientation is not accurate in the investment promotion process, that assessment system is not sound as well as government's macro-control measures are not scientific, and eventually makes an important investment market ideology. In the article, according to the series of problems in the investment promotion of local governments, actively putts forward such as training agencies as investment subject, pays attention to industrial investment, improve economic regulation and control functions, and transform government's functions, improve economic regulation and control functions, and create "service-oriented government". At the same time, it further defines its role and significance of local government's investment promotion in the academic areas of administration that launched a positive study.