A Study On The Relationship Between Fiscal Revenue And Economic Growth In Jiangxi Province

Since the tax allocation reform in 1994,with the flourishing development of the domestic economy,the local fiscal revenue has entered a period of rapid growth.The size of the fiscal revenue and the total economy in Jiangxi Province has maintained a rapid growth rate.From 1994 to 2014,public finance budget revenue from ?4.929 billion grew to ?188.15 billion,which has increased 38 times.From 1994 to 2014.GDP increased from ?94.816 billion to ?1570.859 billion,which has increased more than 16 times.But for a long time,the state has not paid close attention to the close relationship between the fiscal revenue and economic growth,especially when the local government formulated the fiscal policy;In the process of promoting economic growth,the local government also did not give full attention to the role of fiscal revenue;At the same time,non-tax revenue grew too fast,the scale is too large,crowding out the tax revenue etc.These all will affect the steady growth of the economy and the fiscal revenue.Research of fiscal revenue and economic growth in Jiangxi Province,is not only an extension of the existing fiscal policy theory to discuss how it should be applied in reality,but also provides important theoretical basis and rationalization proposals to deepen fiscal and tax reform,promote a sustained and rapid economic growth in specific regional in today's rapid economic development of the new external environment.In addition,it also needs to study and analyze the influence of economic growth on the economic growth of Jiangxi province,in order to avoid fiscal policy formulation process did not take into account the speed of economic development issues.Thus,research on the relationship between fiscal revenue and economic growth in Jiangxi Province,is of practical and theoretical study of the enrichment and development,more important is to prevent blindness and randomness government policy-making under the new economic environment,to deepen the reform of taxation system,promote the coordinated development of fiscal income and economic growth in Jiangxi Province to provide an important theoretical basis and rational suggestion.This paper studies the relationship between fiscal revenue and economic growth in Jiangxi province from two aspects of theory and empirical research.The article is divided into five parts,the introduction and main body.The first chapter mainly describes the background and significance of this study,collate and review the existing research results at home and abroad,and put forward the research ideas,framework,innovation points and difficulties;The second chapter is about the theoretical analysis of fiscal revenue and economic growth.Define the relevant concepts involved and describe the measure indicators,and then introduce the theory of the relationship between fiscal revenue and economic growth;The third chapter introduces the current situation of fiscal revenue and economic growth in Jiangxi province.Through analysis,we can find that although Jiangxi Province GDP and fiscal revenue in total grow significantly,but the overall level is still in the end of the central region and fiscal revenue growth rate is higher than the real GDP growth rate in most year.In addition,the structure of tax and non-tax revenue is not reasonable.The fourth chapter is based on the time series data of fiscal revenue and GDP in Jiangxi province from 1994 to 2014,using EG cointegration test,vector error margin,correction model,impulse response analysis and variance decomposition to analyze the correlation between fiscal revenue and economic growth in Jiangxi Province.We can know that the relationship between economic growth and fiscal revenue in Jiangxi province is more significant in the long run,and the impact of fiscal revenue on economic growth is not significant,may have a negative impact in the long term.The fifth chapter is on the basis of the above research,from the angle of current financial system,local tax system structure and industrial structure,to provide some guidance for the local government to formulate fiscal and tax policies and economic growth planning.So as to find the countermeasures and suggestions to promote the coordination of financial income and economic growth in Jiangxi province.