A Study On Reform Of County Administrated By Province Of Anhui Province

The reform of "County administrated by province" financial system has become an important topic of China’s financial reform. In1994, the reform of the tax system does not clearly states the provincial fiscal relations of distribution. It led to the obvious contradiction between property rights and expenditure responsibilities between local governments below the provincial thus prevented the development of county economy. Many experts and government decision-makers hope that by the reform of provincial governing county financial system, fiscal relations between governments below the provincial financial authority can be rationalized, and property and power rights can be matched.The thesis aims to study the reform of "County administrated by province" financial system. It proposes that standardized financial distribution relationship should be established, and the ultimate goal is to implement the administration of "County administrated by province". The thesis is based on the theory of public goods level, the theory of fiscal decentralizations, and the theory of groups flattening. It analyzes the main problems of the reform, and provides theoretical basis for the necessity of "County administrated by province" financial system. Citing the reform happened in Anhui province as an example, the paper objectively evaluates the reform. The reform promotes the intra-county economic development, improves the capability of financial security, optimizes the level of government finances, and furthers the transformation of county finance concept. In addition, the thesis examines the system conflicts of the reform in Anhui province from three aspects:the current administrative system, intra-county economical development, and the current revenue system. The thesis compares the reforms in Zhejiang province, Hainan province and Hubei province, and proposes the basic idea of improving the reform:The first is to deepen the reform of the administrative system, second is to improve the local tax-sharing system, third is to perfect supporting measures, and fourth is to straighten out the three pairs of relations, including that between the Province and the City, the province and county, and city and county.Finally, the thesis predicts the future developments of the reform of "County administrated by province" financial system, summarizes the main conclusion and limitations contained in the paper, and analyzes the positive significances of goals of the reform, that is, to standardize the property and power rights of the government, to transform government’s functions, and to push forward the process of urbanization.