Research On Fiscal Agricultural Expenditure Efficiency Of Cities Under The Jurisdiction Of Henan Province

Agriculture is the lifeblood of the national economy, the importance of healthy operation of the national economy is self-evident. At the same time, characteristics of positive externalities, public goods and agricultural feebleness determine the fact that agriculture needs government’s support and protection. Henan Province, as a major agricultural province, is one of the major grain producing areas in China. Governments of the cities in Henan Province have constantly intensified their support for agriculture in recent years. However, government needs to plan the fiscal expenditure in various industries, financial support for agriculture is limited, so focusing on the study of fiscal agricultural expenditure efficiency becomes extremely critical. It can not only provide theoretical guidance in formulating fiscal agricultural expenditure policy and improving the utilization efficiency of financial agricultural funds in the future, but also has important practical significance to promote agricultural production and farmers’income and so on.This paper researches on agricultural fiscal expenditures efficiency of18cities in Henan Province during2007-2013. First of all, this paper introduces the relevant concepts of fiscal agricultural expenditure efficiency and theories basis, describes agriculture situations, and then analyzes current situations offiscal agricultural expenditure of18cities in Henan province from two aspects of absolute scale and relative scale. Secondly, this paper uses DEA to calculate the efficiency of fiscal agricultural expenditure of18cities in Henan Province from2007to2013, and separately carries on the concrete analysis from comprehensive efficiency, pure technical efficiency and scale efficiency. Thirdly, this paper regards the comprehensive efficiency of fiscal agricultural expenditure of18cities during2007-2013as the dependent variable, researching the influence of per capita GDP, total power of agricultural machinery, fertilizer effect of the dosage, financial self-sufficiency rate, and the level of urbanization on fiscal agricultural expenditure efficiency through the establishment of model of Tobit. Finally, this paper summarizes and puts forward the corresponding policy recommendations.The main conclusions of the article are as follows. Firstly, the efficiency of fiscal agricultural expenditure in Henan overall is low, and regional differences are obvious. Secondly, the reasons about the low value of efficiency in the different cities are different. Thirdly, fiscal agricultural expenditure is in decreasing returns to scale stage in most of the cities. Finally, the factors which have a significant impact on the efficiency of fiscal agricultural expenditure include regional economic development, agricultural production conditions, regional government’s fiscal capacity, while the relationship between urbanization level and efficiency of fiscal agricultural expenditure is not significant.Based on the above conclusions, the paper proposes the following policy recommendations:planning scale agricultural expenditure rationally; strengthening management and supervision of agricultural fiscal expenditures; accelerating urbanization process; strengthening rural infrastructure, and improving the level of agricultural mechanization further.