A Study On Optimizing Economy Management Functions Of Basic-Level Governments

In recent years, with the development of China’s economy, the government is playing a changing role in economy management, as an allocator of resources to a creator and supervisor of market environment. On the Party’s eighteen plenary session, the CPC Central Committee with General Secretary Xi Jinping as its core clearly stressed the need to comprehensively deepen the reform, adhere to the socialist market economy as its direction and reach greater extent in the social fairness and justice, thus let people enjoy the benefits from it.The government also should conform to the market’s need when performing its role, to make its management and adjustment more efficiency and provide more public service. The basic-level government has no right to decide macro-control nor secondary allocation, yet it remains to be a direct participator and pusher in maintaining market environment, optimizing industries and developing regional economy.The paper focuses on W Town and analyses its economic department’s reforming history in this background. It also analyses the economy management function which the enterprises offer to the government by studying some enterprises in W Town. With the methods of literature research, empirical research and normative research, the paper points out that the basic-level government must make a clear self-positioning, improve the external environment and take inner measures to optimize its function, that means better evaluation mechanism, wider public participation, and more reasonable tax system. Thus the paper proposes that the government should supervise enterprise directly, eliminate system obstacle to make a fairer and more stable market environment.