The Research For The Financial Responsible Problem Of China's Urban Pension

The financial responsible problem of government's urban pension is not yet solved for China's urban pension system. This paper focuses on a study of government's financial responsibility after the transition of china's urban pension system and an analysis of the basis and scope of financial responsibility of the urban pension, defining the border of government's financial responsibility of the urban pension system, from quantitative analysis and prediction of the financial capital requirement and support capability of the government's urban pension and the gap between them, this paper proposes some policy recommendations to implement the financial responsibility of the government's urban pension.The financial responsibility of Chinese government's urban pension includes four parts: corporate pension fund benefits, office expenses for retirees, other workers'historical debt and pension benefits for urban residents, corporate pension fund benefits include"old people"pension benefits and"middle people"pension benefits. 2008 the financial capital requirements of the government of china's urban pension was 523.19 billion yuan, financial expenditure was 344.34 billion yuan, a capital gap of 178.85 billion yuan, accounting for 34.19% capital requirements. This paper selects two statistical indicators which measure financial support capabilities of the government's urban pension: the ratio of financial burden and the ratio of financial expenditures for urban pension. The statistical indicators in 2008 were 40.67% and 2.79%.To forecast the financial capital requirement and support capability of the government's urban pension between 2009 and 2030 and to analyze the change of the gap, this paper gets that 2026 is a dividing line. Before 2026 the financial capital requirement of the government's urban pension expresses gap, after 2026 the financial support capability of the government's urban pension is greater than capital requirement.Finally, to implement the financial responsibility of the government's urban pension, this paper proposes some policy recommendations: First, to define and manifest the financial responsible boundary and depth of the government's urban pension; Second, to establish fund budget for urban pension and the whole pension; Third, to adjust the structure of financial expenditure and increase financial expenditure; Fourth, to focus on co-ordination and systematic integration of urban pension system; Fifth, to improve public decision-making mechanism of the allocation of resources for urban pension.