Study On Educational Expenditure Structure Within Public Finance System Of China

To meet the establishment of socialist market economy system, Chinese government proposed to construct the framework of public finance in 1998. The public financial system refers to one kind of government financial revenue and expenditure activity whose object is to meet the social public needs. The establishment of public financial system thoroughly defines fiscal functions under market economy condition, which is providing public products and services to tackle market failure. Since China entered into perfecting socialist market economic stage in 2003, the request of deepening the reform of public finance has become increasingly urgent.As the world has entered the era of knowledge-based economy, science and knowledge innovation is the most important factor to enhance the comprehensive national strength. Chinese government gradually realized education development is the key to social justice and economic growth, it has long insisted giving priority to the development of education. In recent years, Chinese education develops rapidly and scores tremendous achievements.Because education itself is a "public product", the government should provide financial support for education development as the main body. Fiscal education expenditure is education development's important financial security. But Chinese fiscal education expenditure's uses structure, grades structure, regional structure and share structure are imbalanced, unfair and unreasonable. It not only greatly wastes scarce education resources, but also restricts the improvement of education quality and hinders education fairness. Problems need to be solved urgently.Based on related theory and realistic background, the author deeply analyzes Chinese fiscal education expenditure structure and learns experience abroad, finally gives policy suggestions. This paper's first chapter is a foreword. Text includes four parts. The first part includes Chapter 2/3, mainly introducing the relevant theoretical basis and realistic background. The second part includes Chapter 4/5/6, respectively analyzing Chinese fiscal education expenditure's uses structure, grades structure and regional structure. The third part is Chapter 7, which puts forward advices how to optimize the structure.