Research On The Relationship Between Fiscal Revenue And Economic Growth In Henan Province

1994,China's overall economic level has been a substantial growth,the development of local economy and the level of fiscal revenue has entered a period of rapid growth.In 1994,Henan province finance income is 17 billion 138 million yuan,in 2015 the Henan province finance income is 442 billion 810 million yuan,22 years,Henan's fiscal revenue growth of nearly 26 times;in 1994,GDP of Henan province is 221 billion 683 million yuan,and by 2015,the GDP of 3 trillion and 700 billion 216 million yuan.It can be seen that Henan's GDP and fiscal revenue have increased significantly.Henan Province as the core of the rise of the Central Plains,the level of economic development of the country and the rise of the central plains are the major factors,this paper focuses on the relationship between Henan Province in the area of fiscal income and economic growth.Firstly,this paper introduces the relevant literature review at home and abroad,then introduces the concept of fiscal revenue and GDP,and then discusses the general theory of fiscal revenue and economic growth.Secondly,the 1994-2015 time series data in Henan Province,according to the descriptive statistics of three indicators to measure the relationship between financial income and economic growth in the system on the relationship between Henan financial income and economic growth,there is a significant relationship between fiscal revenue and economic growth of Henan province is obtained,and the fiscal revenue growth rate is generally higher than that of the economy the growth rate of growth.From the perspective of industrial structure,the first industry in GDP accounted for the proportion of GDP in Henan province is higher than the national average level,while the third industry of Henan province's GDP is lower than the national average of 10 percentage points.The relationship between the two in order to more in-depth and detailed analysis,then use in Henan province from 1994-2015 years from the statistical yearbook data obtained using the method of empirical analysis of fiscal income and economic growth.In this paper,co integration test,error correction model and Grainger(Granger)causality test are used.Empirical: there is a long-term stable equilibrium relationship between financial income and economic growth in Henan Province,and the fiscal income and economic growth in Henan province and the lag period of fiscal revenue,there is a long-term stable equilibrium relationship between the three;the analysis from the short-term perspective,the economic growth of Henan province and lag phase fiscal revenue increased 1%,revenue will increase by 0.729% and 0.405%,when the short-term fluctuations in the economy deviates from the long-term equilibrium of the economy,will be in the adjustment of-0.98929.The non balanced state of the economy back to the equilibrium state;according to Grainger causality test,Henan province lags behind Grainger reason of the revenue is not economic growth,and lagged economic growth is the Grainger reason of fiscal revenue.Finally,based on the detailed analysis of the empirical results,we know that Henan needs to speed up the pace of economic development,the industrial structure needs to be optimized and upgraded,thereby increasing the revenue of the tax sources.