Research On The Mechanism And Effect Of Fiscal Decentralization On The Investment In Provincial Regional Higher Education

Since enrollment expansion in higher education,the ever-increasing scale of higher education has posed a more serious challenge to the financing of higher education.The mobilization and use of education funds has been transferred from central authority to local government,which to some extent Higher education funding difficulties,but also to the local government has brought tremendous financial pressure.The reform of the tax-sharing system since 1994 has brought far-reaching impact on the fiscal and taxation system in our country.The revenue of local governments has been greatly reduced while the responsibilities of fiscal expenditure have not changed significantly.The mismatch between financial rights and powers and the government competition caused by fiscal decentralization,The structure of government fiscal expenditure has obvious distortion effect,making local government expenditures on public services such as public spending on public services to reduce,and because of the long-term investment and long-term returns of higher education characteristics,and has a strong spillover effect,making local governments in the Higher enthusiasm for investment in education is not high,or by the constraints of local financial resources lead to lack of compassion.What has led to this is the serious shortage of investment in education in our country for a long time.Therefore,under this background,it is helpful to study the influence of the fiscal decentralization system on the provincial regional higher education,to better understand the provincial government's influence on the input of higher education,Financial investment in the development of a university "balance of interests between the government and universities to achieve a win-win situation to provide reference.Based on the fiscal decentralization theory and the theory of higher education investment,this paper makes use of the data of 31 provincial-level regional panels from 2006 to 2015 with the help of the fixed-effects model and the threshold panel regression model to analyze the impact of fiscal decentralization on the provincial regional higher education The impact of investment and its mechanism were analyzed.This paper finds that:(1)The degree of fiscal decentralization and the input of higher education in different regions are significantly different.The degree of fiscal autonomy in the eastern region is higher and the level of investment in higher education is higher.The fiscal autonomy in the central and western regions and Higher education input levels are lower.(2)Fiscal decentralization has a significant negative impact on the share of higher education in provincial-level government expenditures.When the degree of fiscal decentralization increases by 1 percentage point,the share of higher education in fiscal expenditure will decrease by 0.0348 percentage points.The increase of autonomy of provincial government expenditure has a significant positive effect on provincial government investment in higher education.(3)The negative impact of fiscal decentralization on the input of higher education is related to the economic competition among local governments.The economic competition among local governments distorts the structure of fiscal expenditure,resulting in the reduction of higher education expenditure by local governments and the fiscal decentralization The negative effect of higher education investment will increase with the intensification of economic competition of local governments.(4)From the regional perspective,the fiscal decentralization has a strong regional difference on the provincial government investment in higher education.The negative effect on the investment in higher education in the eastern region is weaker,and the negative effect on the investment in higher education in the central and western regions is more Strong.Threshold panel regression results,the impact of fiscal decentralization on regional investment in higher education in the region with the level of economic development and economic development stage,fiscal decentralization for the economy more backward regions higher education investment in the negative role,With the improvement of economic development,this negative effect gradually weakened.The research in this paper is based on fiscal decentralization theory and higher education investment theory.Through detailed data analysis and rigorous empirical tests,it explores the mechanism and effect of the fiscal decentralization system in China on the impact of provincial regional higher education input,and explores the local government's higher education investment.The in-depth reasons for the differences,and according to the research conclusions obtained in this paper,put forward policy recommendations on improving the division of financial and administrative power of the central and local governments and the financial input mechanism of higher education.The research findings of this paper can provide reference for promoting the balanced development of higher education in the region and optimizing the financial input mechanism of higher education.