Local Public Finance Expenditure Theory And Empirical Analysis

Twenty years ago, China opened its door to the world. Along with the development and establishment of the market economy, the function of governments has changed a lot since. Just at that time the theory of "public finance" was introduced to China. However, most of these dissertations are about the problems of the central government's public finance. The problems of public finance of the local government have not been discussed so sufficiently.The local public finance is an integral portion of nation's whole system of public finance. As Chinese market economy is going on developing in depth, especially after China entered the WTO many things should meet with the international social, the public finance of local government is facing the peculiar challenge with the needs of the mature market economy. There by, in order to set up and consummate socialism market economy system, should found local public finance which is suitable to the public finance of central government, ensure and accelerate local economy standing, stable, healthy development. Only in this way, it is called that nation's public finance frame is established in deed.To be fit for the request of local government's economic functions in the market economy, this dissertation starting from the theory point of view, combines the public finance of the local government basing on the current conditions of China and uses for reference to a great of advanced foreign experience. And then stresses the demonstration analysis about the public finance expenditure of the local government. Finally puts forwards some measure.This dissertation is consist of the following three parts:Part â… , an quotation of theory. This sector serves public good's essence as cut-in point, studies economic function of the local government academically,then expatiates arrangement the new function of governments in market economy.Part â…¡, an analysis. This part put Chinese reformation on marketing economy system as background, from the point of view demonstration introduce and construe Chinese, U.S.A., Japanese and complexion on local public finance expenditure. Includes every nations finance expenditure size and configuration of local government. And based on setting up the efficient free market economy, drawing the specific issues which Chinese local government is facing by comparing Chinese conditions with foreign countries.Part â…¢, the conclusion. This part analyses the reasons that caused the problem of finance expenditures of the local government and gives some recommendation on how to solve these problems based on the Chinese current circumstance and the international practice.