Mechanism & Strategy Research On China's Anti-poverty Movement During The Transition Period

Poverty is one of the most serious challenges confronting all human societies. Since the foundation of P.R.C, great efforts have been made by the government to promote productivity and alleviate its poverty. But in real term, China has begun its anti-poverty campaign in the end of 1970, when China initiated major rural economic reforms and open-door policy. The progress of 20 years poverty alleviation in China could be divided into three stages. The first stage, from 1978 to 1985, is poverty alleviation through the system reformation; the second stage, from 1986 to 1993, is poverty alleviation in a planned and organized way, and in large scale; the third, from 1994 to 2000, a stage of tackling the hard-core poor. Anti-poverty in China comes out of special historical condition. And the most basic background was that the formulating and implementation of anti-poverty strategy was consistent with China抯 economy transition. It is to say that all of the strategy and measures of anti-poverty in China were labeled with the transformation, meanwhile, the transformation also awfully affects anti-poverty. Transition means transform from planned economy system to market economy system, from undeveloped economy to developed economy, these two kinds of transformation were combined together in current China. The transformation deeply affected China anti-poverty strategy. Transformation and development promoted each other, and formed the essential conditions of poverty alleviation. But they could not avoid the negative function to poverty alleviation. Economy growth and poverty alleviation has different essence and target. Besides, economy growth can抰 benefit the poor. High economic growth rate in China played important role in poverty alleviation. The result of model analysis shows that 1% increasing of GDP will decrease the incidence of poverty at 0.56%. But the role of economy development upon poverty alleviation was obvious affected by different region and industries. Moreover, the income increasing from economy growth could not be disflibuted fairly between urban and rural inhabitants, which intensified the poverty status. China government is the main resource provider of poverty alleviation. Among 1986 to 1999, it had mobilized totally up to 137.81 billion RMB specially funds for poverty alleviation in term of government allocated funds,. subsidies loans from the Agricultural Bank of China and food-for-work funds (in-kind), etc. But in the procedure of carrying out, issues always occurred like fund could not be got directly by poor habitants, low effective of fund running, too high ratio of fund for fiscal subsidies in poor counties, low ratio of loan repayment, and irregular or illegal operation of fund, etc. The problems aroused from the allocation and utilization of China anti-poverty resources mainly resulted from the anti-poverty resources allocating mechanism formulated in the traditional planning economy system. Under this mechanism, anti- poverty allocation and management must be a government behavior, which emphasizes on the various levels, multi-proposes, and different beneficiary and make no account of the cost, efficiency and take no responsibility. Therefore, the innovation of anti-poverty investment mechanism must totally abandon the old one formed in the planned economy system, and turn up to the track of market economy system. First, set up new mechanism that the anti-poverty resources are used in non-gratuitous. Second, set up a sustainable and-poverty financial mechan...