Reconstruction Of The Central-local Relations In The Market Process

The relationship between central government and local government is a vital problem among the affairs of state, and how to handle it directly relates to the unification of nation, the stability of politics and the development of economy. The essence of the relationship between central government and local government is the relationship between different interests, namely the relationship between the interest of the whole nation and the interests of the local parts, which is a pair of contradictions. The extrinsic form of it is the allocation of state power between central government and local government, namely the relationship between centralization and decentralization. To allocate the state power between central government and local government, we must firstly ascertain the functions of central government and local government, which should be considered in background of the shift from the planned economy to the socialist market economy. The sticking point of altering the functions of the government lies in the planned economy system, and the key is to realize the separation of the functions of the government from those of enterprises.Considering the treatises on the relationship between central government and local government written by the thinkers at home and abroad as well as the pattern adopted by some developed countries in handling the relationship between central government and local government, this thesis firstly reviews the historical experience and the existing problems of the relationship between central government and local government before and after Reform and Opening up, then it analyses from three different viewpoints. From the viewpoint of system, it analyses some vital problems and challenges that the relationship between central government and local government faces, such as the decline of the authority of central government, the rampancy of sectionalism, the enlargement of the gap between eastern part and western part etc.; From the viewpoint of the functions of the government, it points out that confirming the functions of the government, is the premise of allocating the power of affair and finance between central government and local government. From the viewpoint of economics, it develops the useful and discards the useless parts of the patterns of centralization and decentralization, and holds the idea that we should realizes the separation of property right from public managing right by reforming the property right, and we should realize the balance between the regulating and controlling capacity of central government and the capacity of local autonomy by revenue-sharing system, thus establish the interdependent and power-balanced relationship between central government and local government.Finally, it draws a conclusion that in handling the relationship between central government and local government, we should establish a tensile and homeostasis pattern which ensure the appropriate centralization and the reasonable decentralization, and make centralization and decentralization depend on and restrict each other.