The Effect Of Longitudinal Transfer Payment Between Governments Of Zhejiang Province

In recent years, China economy has rapidly developed, and the GDP increasedrapidly. Meanwhile, people’s demand for basic public service which offered bygovernment is higher and higher. But we should clearly recognize that financialdisparity between regions, and between urban and rural areas is still huge, the goal ofbasic public service equalization are still far short. Intergovernmental transfer paymentis an important means to be balanced regional financial disparity, and to promote basicpublic service equalization. So it is important to design reasonable transfer paymentsystem to promote the basic public service equalization supply between regions. Thispaper attempts form transfer payments, financial balance and basic public serviceequalization in one comprehensive analysis framework. And research the Zhejiangprovincial transfer payment system will ultimately how to promote the realization of thebasic public service equalization between county(city).This paper is divided into five chapters, the specific content of each chapter is asfollows:Chapter1: Introduction. Introduce research background and purpose, researchcontents and method, research range and so on.Chapter2: The theoretical basis. Mainly related to the theory of public finance,fiscal decentralization theory, welfare economics theory, and provides a basis for thespecific study of this paper, to clarify the research ideas.Chapter3: The internal mechanism and international reference of transfer paymentto promote the basic public service equalization. Focus on the analysis of themechanism that transfer payment promoting the basic public service equalization.Found that the transfer payment system is an important means to promoteintergovernmental financial balance. The financial balance is a necessary condition toachieve the equalization of basic public service supply. And basic public serviceequalization is the main target of intergovernmental transfer payment. At the same time,learn from other countries of the transfer payment system in the practical experience.Come to conclusion that effective design of transfer payment system will promote basicpublic service equalization.Chapter4: The empirical analysis of the influence of Zhejiang provincial longitudinal transfer payments to countie’s (citie’s) basic public service equalization.Firstly, Analysis of the specific implementation of Zhejiang provincial fiscal paymenttransfer of counties (cities). Including general transfer payments and partial transferpayment situation. Secondly, with the financial equalization degree between counties(cities) in Zhejiang Province as the index, and analysis of provincial transfer paymentsspecific effect on the equilibrium among different counties (cities) financial gap. Finally,try to build the measurement system of the basic public service equalization of ZhejiangProvince, based on the principles of fairness and efficiency.Chapter5: The research conclusions and policy suggestions. Based on theempirical analysis, analysis of Zhejiang province transfer payment made achievementsand shortcomings, and puts forward suggestions for improvement.The innovation of this paper: At present the theory, through intrinsic link about thetransfer payment, financial balance and basic public service equalization, to construct acomprehensive analysis framework. At the same time, combined with the actualsituation that Zhejiang province "province governing county", using the provincefollowing the county (city) as the research object, has practical significance.This deficiency of this paper: As the range of research on transfer payment andbasic public service equalization, this paper can not be done detailed studies on eachdetail. At the same time, due to the limitation of data availability and continuity, in thespecific empirical analysis, the choice of index of the equalization of basic publicservices is not comprehensive. And in the transfer payment effect analysis, lack of thelong-term effect analysis.