On The Reforms Of The Arrangement Of Institutions Of Public School In China

The management institutions of the state-run high and primary school which producing educational services in this paper refer to the institutional arrangements of factor-contract, labor division-coordination and stimulation-restraint in the teachers as a producing group, meantime the combination of the supply and production of the high-primary educational service as public goods makes us take into consideration the principal-agent relations between taxpayers-local governments-school organizations, in essence, the hierarchical organization in school is also principal-agency relations. This paper analyses the management institution of public school in china by means of the concerned theories of new-institutional economics and management, it says that market mechanism should be drew in between the local government and school organizations, in order to reduce the agency costs . the factor-contract should also accept the market mechanism so that headmaster could be promoted and resigned; teacher could be employed and unemployed according need, this way it can enhance the outward restraint. More accurate arrangement of institution of performance-measurement and salary requires to put down the "moral hazard". This paper is composed of 3 parts:The 1st part: the basic views of the new institutional economics and the enlightenment to the reform of the arrangement of institutions of public schools, its significance lies in seeking more effective arrangements of institution and creating more efficient institutional device in the org. interior in order to make full use of the given educational resources.The existing reforms have made some progress in strategy-leadership mechanism, incentive-restraint mechanism of internal school org, however, the reform still has shortcomings, it is of importance for the effective supply of public school educational services to analyze the back draws of existing reforms and trace the possible prospect ofinstitutional change.The 2nd part: the faults of traditional public schools' management and its' existing reforms'. The paper analyze 4faults: first, the power of the president of public school is in the air-the schoolmaster responsibility but has no real power; second, the management structure in the school is unreasonable and the responsibility system of the leadership is administrative model. Third, the closing employment system of the teaching staff and the supervision mechanism in public school is not sound and democratic management is weak. The forth,, the salary arrangement of teacher lack of orientation and reason, and the performance measurement needs improvement in order to its efficiency and justice. And the other, part of headmasters in public school pays less attention to humanity concerns.The 3rd part: the innovation of the inner arrangements of institutions of modern public school. The public educational services are confronted fierce pressure as local public goods in arrangement of supply and produce. Further reforms irresistible, we need to take in market mechanism, enhance exterior restraint, make reform inward structure, design accurate devices of performance-measurement and salary increase humanity concerns in management to promote and improve internal incentive-restraint. Specific politic suggestions include 4 aspects: the concurrent development in internal and external reform, the equal emphasis in system and tact, the same conduct in rationality and humanity, the simultaneous advance in stability and transformation. The basic strategies are follows: first, we need to put the real schoolmaster responsibility into practice; second, we should construct a set of efficient and just mechanism of incentive-restraint.