The Equilibrium Configuration Of The Urban And Rural Public Goods

During the last more than thirty years after initiating the reforms and open policy, China has got its rapid development. People's overall living stardard has made great improvement and every year's GDP growth has kept in the front list of the world. But it is obvious that the moment when our country is developing quickly, people are relatively living a life in a low growth. Chairman Hu Jintao put forward the new concept of "Inclusive Growth" on the fifth plenum of 17th central committee of the communist party which means we should advocate sharing economic improvement fairly and reasonably and help people become richer together with the motherland. Nowadays the most evident disequilibrium is the big gap between urban and rural areas. As the basic measure to adjust resource distribution for government, public goods must be handed rationally. Making a good distribution of urban and rural basic public goods can benefit implementing the coordination between urban and rural areas theoretically; it can also deepen and expand the theory of public service equalization, advance the efficiency of resource collocation, conduce to realize balanced development between urban and rural areas, expedite the pace of new countryside construction, fulfil the scientific outlook on development and build the harmonious society together then achieve the inclusive growth.Under the background of above social atomosphere and in order to realize the goal of distributing basic public goods between urban-rural equally, this paper, after summarizing already researches and materials, uses three-dimensional panal data to erect an individual fixed effect model to analyze the effect of infrastructure construction, medicine and sanitation, compulsory education and social security's counterpoints---input in fixed assets, per student outlay on compulsory education, number of bed medicare organization owned by per thousand person and the endowment insurance coverage in the end of the year on per capita net income of urban and rural families, which includes compositive effect,particular effects of different indexes,provinces and areas. The equilibrium not only emphasizes on equity which equalization means, it pays more attention on efficiency. It still embodys some difference between urban and rural areas, among different regions. It doesn't mean there are strict samenesses. Because people's needs on basic public goods are different in urban and rural areas, even the same basic public goods can make different effects on different people. Different regions and provinces also have their own characters, so the paper brings forward more suggestions based on the differences existing between urban and rural areas, put the collocation efficiency in an important place.In the beginning, this paper discusses status quo of basic public goods in our country's urban and rural areas, then sets up the individual fixed effet model using provincial panal data and gets the conclusions:from the aspect of different indexes, the following are degressive in the effect on rural families'per capita net income:per student outlay on compulsory education,input in fixed assets, the endowment insurance coverage in the end of the year and number of bed medicare organization owned by per thousand person.while for urban,the degressive order are the endowment insurance coverage in the end of the year, per student outlay on compulsory education, number of bed medicare organization owned by per thousand person and input in fixed assets; from the aspect of different regions, in the middle and west China, basic public goods in urban areas can attain stronger effect than rural areas, in contrast east China has the opposite result; from the aspect of different provinces, rural areas'plus effect is more obvious than urban areas in economic developed provinces and in economic undeveloped provinces, the condition is also opposite. At last, this paper suggests that in urban and rural areas, it should be ordered that compulsory education input must be increased first, then develop the medical and sanitional work rapidly, consummate the integration of urban-rural on social security system, invest in infrastucture construction persistently and at the same time, coordinate the collocation of basic public goods between urban-rural areas, inter-provinces well.