China-ASEAN Free Trade Area Of Fiscal Policy Coordination

The largest free-trade area in the world—China-ASEAN Free Trade Area was officially established, On January1st,2010, which will become a big economy, covering11countries,19billion people, GDP of6trillion dollars. The opening of China-ASEAN Free Trade Area has not only brought the development’s opportunity for China and ASEAN, but also the enormous challenge at the same time, that is to say, it is now confronted with the pressure of competition and the space of cooperation. The integration of Fiscal policy has already become the very important system factor to promote the economic integration of China-ASEAN Free Trade Area.This paper is paid more attention to investigate the differences and current situation of the fiscal policy compatibility of China-ASEAN Free Trade Area, and then make an analysis of the problems existed in the process of fiscal policy compatibility of China-ASEAN Free Trade Area, on the basis of the summarizes and analysis above, excavate deeply the favorable and unfavorable factors. And finally I put forward relevant policy suggestions to be used as the reference of fiscal policy compatibility of China-ASEAN Free Trade Area, to some extent.The research on the fiscal policy compatibility of China-ASEAN Free Trade Area is an important content and objective requirement for the construction of China-ASEAN Free Trade Area. It is the basic guarantee and the key point to promote construction of China-ASEAN Free Trade Area and realize free_trade of our country, what’s more. It has an important significance for other trade area. No matter from the international economic activity or from the point of view of the state financial, the fiscal policy compatibility is the unavoidable reality content and request in the processing of establishment of free trade area, and therefore, it has direct relationship with the process and development of establishment of free trade area, it’s an important expression and form to build and strengthen the organization standard and institutional constraints of the free trade area.