The Research On The Contemporary China Public Goods Supply-Demand Choice System

Public goods include basic compulsory education, health care, public services,public transportation and other basic social welfare. It involves all areas of the basiclife. With the improvement of people’s living standard in recent years, people putforward higher requirements on the supply of public goods. Therefore, a series ofstudies about system construction and system choice have emerged, which arearound how to produce and for whom to produce.This thesis deems that the history of China’s public goods supply system is a“choice” course, which is different from the public choice course in western societies,and is not individualism-centered. It emerges in a collective form, and it is a“collective choice”. This kind of collective choice, including the formation ofcollective decision-making and the construction of collective choice system, is achoice building on the principle of collectivism. It is not a simple sum of personalchoice, but the collective decision-making method of the optimal strategy and theexpression of social will. For citizens, this “choice” is the way to participate inpolitical affairs under Chinese political system.Chinese economic and political system reform is not just to reform the existinggovernment functions and administrative pattern, but to change a way of collectivechoice. This innovation is not only a difficult choice for Chinese government andpeople who have been exploring perfect economic and political development mode,but also an attempt of political and economic system reform. This institutionalchoice can not only affects all areas of people’s life but also leads to hardtransformation in management method and government functions. In fact, the reform and innovation in the supply system of Chinese public goods reflects the process ofthis choice, as well as the reform and innovation of collective choice.The thesis insists on the theory of Marxism, and begins with Marx’s thought onthe classification and distribution of social products. Combining many theories suchas general equilibrium theory, systematic transitional theory, public option theoryand the governance theory, which is prevalent in the subjects of welfare economics,finance and political science, this article makes a further study on the evolutioncauses of public good supply system, and analyzes the cause, the changes and thepath dependence in the development of public good supply system since theestablishment of new China. Comparing foreign public good supply system, thisarticle introduces the experiences and lessons of many theories, such as welfaresystem, free market system, and social market system. According to the problemsand causes of Chinese public good supply system, the thesis puts forward somerelative countermeasures and suggestions in some respects involving subjects’selection, subject motivation, and financial resources and so on.This essay is divided into6chapters:ChapterⅠ introduces the background and significance of the study, the purposeand method of the research, the visual angle and logical frame of the thesis. It pointsout the viewpoint of putting the choice system of public goods into the category ofcountry and power system to study.Chapter Ⅱ analyzes main concepts used in this paper, including public goods,collective choice system, individual behavior in the public product supply anddemand, and classification between the system and technology of public goods. Italso analyzes classic Marxist writers and the western economic scholars’ relatedtheory, and, at the same time, it introduces the domestic counterparts in the mainideas and methods of the study in this field.Chapter Ⅲ introduces the status of Chinese choice system of public goods.Firstly, it combs the history of the system—from planning economy to marketeconomy; Secondly, it analyzes the formation of this system, the “combination of legislative and executive powers”; Next, it probes into the mode of public goodssupply, as well as the roles of the government, society and economic groups; Finally,it reviews the development of Chinese choice system of public products.Chapter Ⅳ explains the problems and the cause of formation in Chinesechoice system of public goods. Problems were mainly presented in the justice,coordination, implement, and self-correcting etc. The reasons lie in idealism againstnon-ideal system practice, the human conflicts in elite politics against hypothesis ofrational economic persons, the design dilemma in personalization volunteerismagainst non-personalization system, and the passive innovation of structure priorityetc.Chapter Ⅴ compares western choice system and its history, and it selects threerepresentative developed countries—America, under free market economy; Sweden,with high welfare system; and Germany, with Social-Market economy. These threecountries in the choice process embody its own characteristics respectively. TheUnited States is “government leading, market for remedial”, Sweden is “as one-partyrule but general enjoy”, and Germany is “co-determination” synthesized planningand market. These three choice systems precisely correspond to the system study onmarket and social organizations of public goods under the Communist Party and themulti-party cooperation.Chapter Ⅵ is mainly about the reform and innovation of Chinese choicesystem of public goods. To start with, it improves the decision-making system ofChinese public goods, perfects the citizen demand-display system so that thecitizen’s demand preferences can be effectively expressed through the flow channels.Then, it studies the influence of voting rules on personal preference, improves thesocial transformation mechanism of personal preference, and designs rules toencourage citizens to express demanding preference. Secondly, in governmentdecision implementation, it reconstructs its decision execution mode, reformsnot-equal situation in financial authority and powers for central and local levels ofgovernment, enhances the government administrative ability and level of management, and strengthens the monitoring of the government behavior. Thirdly, itperfects the security measures of the choice system of public products.