Research Of Fiscal Policy To Support Financing Of Small And Medium Enterprises (SME)

Facing the new normal slowdown,2014 Central Economic Work Conference addressedthe new driving force from the strategy of the public business and Peoples innovation. Although the Small micro-enterprise belong to "grassroots family", they have underestimated the "micro power" to solve the problem of employment、innovation、and distribution. As a new phenomenon of development, the development of small and micro enterprises in China’s economy will change the driving mode of China’s economy and bring about a new era.SME financing problem is not only a common theme, but also a worldwide problem. In China, SMEs financing problem is more prevalent, becoming the bottleneck of the development of SMEs and the bottleneck of China’s economic and social transformation. For SMEs financing problem, the traditional thinking of government and academia is a financial policy model including directional RRR、 interest rate market、monetary easing、and the SME bond market building. This paper is based on the theory of fiscal theory concerning the provision of public goods, focusing on fiscal functions in the financing of SMEs, and policy methods、 tools、and other policy issues. The paper believe that a sustainable mechanism is based on the balance of monetary policy and fiscal policy.Based on the characteristics of the life cycle of SME financing、relational financing、credit rationing、herd phenomenon、and financial repression phenomenon, the paper is focused on the following jobs:analyzingthe necessity of the government support、defining the government policy objectives and functions. The policy objectives include giving credit enhancement to enhance endogenous capacity of SME financing、reducing transaction costs, facilitating specialization. Public functions include the establishment of public service platform、maintaining fair competition in the SME financing market and other functions. On this basis, the paper analyzes the fiscal mechanism and routeof the fiscal policy. Specifically, the mechanism include leveraging mechanism、 deflecting mechanism and risk distribution mechanism; the supporting mode include macro-based approach, competitive allocation of support, market-oriented forms,drip style supportFollowing on the definition of objectives、functions、mechanisms、ways to support, the paper reviews the our countries policy evolution, comparing the policy experience of United States、Germany、Japan and other countries. onthis basis, the paper proposed general idea and specific policy recommendations suitable for China.In the course of discussion, the article get several major conclusions as follows:1. The fiscal policy should be implemented in the form of risk-sharing, and the marginal risk of each subject are reduced.2. In this paper, the fiscal policy is based on the transformation of government functions. So the target selection、function orientation and the policy frameworks are based on the perspective of the government’s own reform. From this perspective, the article put some ink to the public service network platform and competitive allocation system.3. Reviewing the policy of the government, we can find the problem of inbalance between functions and tool. Therefore, this paper address the tool study.4.This paper presents a view of the rights of SME credit theory, which is an ethical dimension. Based on the new perspective, the government’s function is not a limited liability, but unlimited liability.5. The Government’s goal is to reduce bad debt, however, the market loss is uncertain, so the government needs to accommodate the SME entrepreneurs who have the ability and dedication. In the micro loan contract, the government should establish a mechanism for SMEs disclaimer.6. In the division of labor between the government, the powers should be given to the lower governmentwho have the information advantages and benefit related advantages.