The Study On The Fiscal And Taxation Causes Of China Service Industry Agglomeration

During the setting of world's major economics transforming industrial-based economy from service-oriented economy,our country is to develop the service industry,but the contribution of service industry to GDP still have great gap with developed countries'.During the post economic crisis Era,the extensive pattern of economic development depending on the elements can't meet the demand of mew period,so the industrial structure must be adjusted and upgraded,The quality and level of modern service industry must be enhanced.Service industry is the modern industry which is integrated of knowledge,talents,information,technology,and it play an important role in attracting talent,promoting development,and promote regional economic competitiveness.There are many element influencing service industry,and Many scholars have studied on it from various angles.The purpose of this paper is to start from the actual development situation of our country,from the perspective of public finance and taxation,using the space dynamic panel data model,to study on the provincial panel data,and analysis the influence that the fiscal and taxation policy have on the service industry agglomeration degree among regions.The service industry of China is developing in a high speed while starting late,and there is evident service agglomeration in Beijing,Shanghai and other cities.The study on the service industry agglomeration will show the evolution process of it,and tell the elements that influences the agglomeration degree.At the same time,it can be compared with the developed country,to provide theoretical support and reference to the evolution process,and the fiscal and taxation policy to support the development of the service industry.This paper is divided into six parts.Chapter one is introduction,to define the conception of the range of service and industry agglomeration,and introduce the research background,purpose and economics theories;Chapter two is the research summary of the impact that agglomeration have on the service industry;Chapter three is the measure and analysis on the agglomeration degree of 31 provinces' ervice industry from 1991 to 2013 using location quotient index,concentration ratio index,spatial Gini coefficient,Herschman-Herfindahl coefficient and E-G index.Then summary the characteristics of the service industry combining the evolution path of it: the agglomeration degree of productive service industry is apparently higher than non-productive service industry,Spatial distribution is very uneven,many mature industry clusters is formed.Summarize the problem of service industry: small scale,short of innovation competence,single economic structure and competitive advantage decline;Chapter four is the influence that the fiscal and taxation policy have done on the service industry,and the function orientation and mechanism of action of the fiscal and taxation policy during agglomeration process of service industry;Chapter five is the study on the impact that the fiscal and taxation policy have done on the service industry applying Spatial Panel Data Model while selected fiscal policy,taxation policy,interaction between them,factor of human resource,factor of infrastructure,level of openness.Chapter six is the conclusion of this paper from the status of the service industry agglomeration,the function orientation and mechanism of action of the fiscal and taxation policy,and the influence it have done on the service industry agglomeration.At last,put forward the fiscal and taxation policy recommendations from adjusting the spatial distribution services,tilting the policy on the human resources,infrastructure,science and technology innovation,establishing perfect the government purchase system,guiding the rational flow of factors of production,proper use of fiscal subsidies and tax breaks.