Research On Optimization Of General Transfer Payment In China

Since 1995,the scale of general transfer payments in China has gradually expanded and the structure has been Constantly optimized.In 2014,the State Council’s "Opinions on Reforming and Improving the Central Government’s Local Transfer Payment System" proposed the problem that the general transfer payment targets are diversified,diverse,Weakening of equalization,and it is necessary to further improve.The 19 th National Congress of the Communist Party of China Report stated: "The main contradictions in our society have been transformed into between the people’s growing needs for a better life and the development of inadequate imbalances." In 2018,The Two Sessions proposed reform requirements to promote the reform of the division of between the central and local authority and expenditure responsibility,improve the transfer payment system,Strengthen support for the development of "revolutionary base areas,ethnic minority areas,remote areas and poverty areas".At present,our country still exists inter-regional development imbalance and unbalanced supply of basic public services between regions,this requires the central government to strengthen the transfer payments to the localities to balance regional financial resources,and achieve equalization of basic public services.Since the development of intergovernmental transfer payments in China,the equalization of financial resources between regions and the equalization of basic public services have not yet been fully realized.It is of great theoretical and practical significance to study and optimize general transfer payments and promote the equalization of basic public services.This paper is supported by fiscal decentralization theory,public product theory,and public service equalization theory,based on the functional positioning perspective,the development of general transfer payment is divided into three stages:transitional transfer payment,financial transfer payment and general transfer payment.In the three stages,we will sort out the development of general transfer payment in China from the aspects of scale,structure and equalization effect,and use empirical analysis method to analyze the general transfer payment equalization effect.First,through the coefficient of variation method to analyze the general transfer payment’s equalization effect;analyze the basic public service equalization level by establishing a basic public service equalization comprehensive evaluation index;third,through panel data model to test the effect of general transfer payment and special transfer payment on equalization of basic public services.Atthe same time,we will study the general transfer payments in Australia,Germany,The United Kingdom,Japan,and learn from foreign experience.Finally,according to the general transfer payment’s equalization effect in China,aiming at the problems in general transfer payment,combining qualitative and quantitative analysis results with foreign practical experience,the paper proposes countermeasures to optimize general transfer payments,includes the aspects of rationally dividing central and local powers and expenditures,further expanding the scope of general transfer payments,optimizing the general transfer payment structure,and accelerating the legalization process of general transfer payments.The innovation of this paper is based on the historical development,based on the goal of equalization of basic public services,focusing on the analysis of the scale and structure change of general transfer payments,combining the effects of equalization and foreign experience,and proposing to play the role of general transfer payment,through financial resources.Equalization ultimately achieves equalization of basic public services.