Local Government Investment In Higher Education Effort Of The Government

The reform of higher education management system is the model from the central to the central and provincial government level with two division.Since the last century since the late 90s, a large part of the former Central University is divided into the provincial local government management that increased greatly the provincial government financial burden to the education put.So that some local universities have to turn to bank loans.Provincia local government commitment has responsible for the financial education of university. But because of lack of coordination of regional economic development, it leads to higher investment in the local government to local differences in the degree that the local government on higher education the imbalance has widened into a trend. Local economic development will determine the level of local government investment in higher education degree.In this paper, we take local colleges and universities as the research object.First of all, the author briefly describe public finance theory and human capital theory , based on the sort of theory, make sure the specific product attributes of higher education and the education relationship between investment and human capital.Secondly, make use of "China Education Finance Statistics Yearbook", "China Statistical Yearbook" and the National Bureau of Statistics over the years, local higher education funding budget, budget, funding per student, per capita GDP and local fiscal expenditure and other data, apply statistical software to do correlation and regression analysis, and analysis of variance. Which shows that our local economy where the level of Higher Education and the relationship between the local higher education accounts for the local budget and financial expenditure in the GDP. Based on this analysis, the national inter-provincial investment in higher education to the local government level and summarizes the comparative analysis, and further elaborated into our local higher education funding problems.Again, through the inter-provincial three-year period from 2006 to 2008, the local colleges and the expenditure of the budget structure of student funding a comparative analysis of student funding for colleges and universities that local geographical imbalance occurs, further points out the eastern, central and western regions to the local government level of investment in higher education and local funding for college student relationship. Representative on foreign investment in higher education institutions in several countries the introduction, we can draw some useful lessons, in order to make up for inadequate funding of local higher education issues.Finally, this study proposes to increase government investment in higher education, and promote the healthy development of the local university policy recommendations: local government investment in higher education clearly the dominant position, improve the state education budget revenue-GDP ratio, higher Education Rationalization macro into the gap narrowing inter-provincial, to carry out diversified investment channels for improving the education system by raising, improve local government funding of higher education finance for sharing mechanism, invest in higher education funding to develop legislation to protect the investment level.