Research On The Impact Of "The Province Tube County" Financial Reform On County Economic Development In Hunan Province

Under the background of deepening all-round reforms and changing government function,the county economy is important to balance the urban and rural development,resolve "sang nong" problems and build a moderately prosperous society.However,since the mid-1990 s,the county economic development has been restricted by many factors,such as government debt and fiscal difficulty.In order to stimulate county economic growth,in 2009,the central government proposed to push forward the fiscal reform of "the province tube county" in the whole country except for ethnic autonomous areas by the end of 2012.To adaptation the instructions of the central government,in 2010,79 of the122 counties under Hunan Province implemented pilot work arrangements for the fiscal reform of the relevant "the province tube county".Based on the above research background,this paper combs the theoretical basis and influence mechanism between the financial reform and the county economic development,from the current situation of the financial reform and the pilot county economic development in Hunan Province.Adopted relevant county-level panel data from 2008 to 2016 in Hunan Province,this paper analyzes the influence of the fiscal reform on the county economic development in Hunan Province by using the method of PSMDID.The empirical results show that "the province tube county" financial system reform in Hunan has promoted the county economic development,and the economic development of non-poverty pilot counties is better than that of poverty pilot counties.In addition,thecounty economic development is also affected by industrialization degree,the local fiscal revenue and expenditure,and so on.At the same time,the reform also have series of potential problems.To maximization policy effect it is necessary to distribute the financial and administrative powers among provinces,cities and counties,perfect the county finance supervision mechanism and province-city-county personnel system,to coordinate the reform of administrative division with the reform of finance,etc.