Quantitative Analysis Of Fiscal Expenditure Contribution To China’s Regional Economic Growth

In this article, we discuss the state financial education investment is how toinfluence the regional economic growth in our country and how the degree is. This papermainly uses the panel data analysis, analyzing the31provinces and cities of the country’sfiscal expenditure on education of relevant data, and performing unit root, cointegrationtest, causality test and finally the system test on the fiscal educational expenditure andGDP, coming down to China’s east Midwest data and adopting the sermons glassproduction function method, and carrying on the regression test from two aspects ofhuman capital and fixed capital investment, carrying on the contrast from the perspectiveof various financial education investment on the relationship of the national regionaleconomic growth, trying to increase reference as the theoretical basis of educationinvestment to influence on the growth of regional economy.In the analysis of different regions, this article uses quantitative analysis on China’seastern, central and western education investment and its own economic growth. Thearticle uses financial investment in education as variables and economic growth that isGDP as the dependent variable to construct econometric model, using Eviews to outputresults, and carries empirical analysis on the results. Education investment has differenteffects on China’s economic development in the east, central and western regions, as theeconomy level of high and low, education investment varies from region to region. Veryuneven, the increase of education investment is to improve the education level of theregions, it is indirectly improve the quality of the human capital, and human capital iskey factor to promote the growth of the economy, to say that the improvement ofeducation investment is to promote the regional economic growth, but in differentregions the degree of influence is different. This paper adopts the perspective of fiscalexpenditure on education and uses the panel data analysis, carries out comprehensivecalculation and analysis from a cobb Douglas production function system. It concludesthat education investment are more inclined to western underdeveloped region, andeducation of the western region’s contribution to the economic growth is bigger than theeastern region. So speeding up the development of less-developed regions, and increasing investment in education, we can gradually narrow the difference of regionaldevelopment.Finally this paper puts fordward the basic method on how to improve China’s fiscalinput in education, especially focus on the improvement of financial educationinvestment. Combined with the current situation of the development of education in ourcountry, mainly on different regions, and different stage of education, this article putsforward the concrete policy suggestions that different industries like China such a vastterritory, large population and loss of capita resources, we want to narrow the gap indevelopment among regions, make social long-term stable economic growth, realize thegreat development of economy, the countries should not only increase support foreconomically underdeveloped areas and give support in some preferential policies. But atthe same time the western region must seize the country western development strategy,wait opportunities to adjust and upgrade on the industrial structure, give full play to thecomparative advantage of the region.