Research On The Local Public Expenditure From The Perspectives Of New Public Service Theory

China gradually transfers from a planned economy country to a market economy country with the changing economic system brought by reform and open-up. With the change of the social economic operation mode, financial operation mode changes as well. The productive financial pattern under the planned economic system turns to be the public finance pattern corresponding to the market economic system. In recent years, China adopts a pro-active fiscal policy, and the scale of the local public expenditure expends. The gross of the local public expenditure increased from767.258billion RMB in1998to9241.6billion RMB in2001, and the proportion local expenditure taking in the total expenditure increases from71.1%in1998to85%in2011. It can be seen that with the local government’s financial right grows, the impact which the local government has on the local economy increases. However, the complex economic situation brings out some problems to the local public expenditure, such as the underserved people’s livelihood service, and the low-level openness and transparency of the public expenditure.This paper uses the empirical study and theoretical analysis and practice of the research methods of combination of L Province in2011the public finance expenditure structure, content, effectiveness of specific research and analysis, Using the new public service theory analyzing the current local public expenditure problems in the deep level reason, and from the new public service theory put forward to realize the countermeasure to optimize the local public finance expenditure. The new public service theory is a whole new theory which focuses more on the democratic value and public interest and more applicable to the civic development and practice of modern society. The principles and concepts of the new public service theory have a positive theoretical significance on guiding the local public expenditure. China is in the transformation period which is the outstanding period of contradiction, so how to allocate the public expenditure becomes the hot-spot issue of general public. Public expenditure shall be scientific, reasonable, and being up to public needs. It shall obtain more benefits with less expenditure. Therefore, in-depth research, analysis of local public expenditure, can provide positive basis for a more effective, reasonable, fair, scientific, standardized, operable local public expenditure. Meanwhile, the paper can also offer reference and suggestion to improve the economic benefit and social benefit of the local public expenditure, has theoretical and practical significance, thereby promoting the development of local economy.