The Research On The Welfare Supply Pattern Of Lottery Fund In China

Compared with the country's rapid development of economy, China's social welfare development is lagging behind. Lottery has become an inevitable choice for welfare financing given the lack of other sources of fund. Although lottery as a form of welfare financing has greatly contributed to social welfare over the years, it consists a blind spot in the financial regulatory system. Academic studies on lottery-financed welfare are also scarceWith special "Chinese characteristics," how can the lottery fund fulfill the whole process of welfare supply? What are the problems in the process of allocation and delivery of welfare? What are the roles of the government and society regarding this matter? How to optimize this special welfare system? So, itis particularly important to sort out the Chinese welfare lottery supply pattern. Therefore, this thesis studied traditional government-led pattern of welfare supply comprehensively based on the domestic and foreign research. After observed society-led patterns and government-social cooperation patterns, this thesis puts forward "multi-center" welfare governance which is representative of development in the future. This paper wanted to improve the basic theory of welfare governance and provide scientific policy for the development of the lotttery's management and social welfare.This thesis consists of nine chapters. Chapter one introduces the subject. Chapter two is literature review. Chapter three establishes the foundations and the premise of this study, including theoretical approach, and analytical framework. Chapters four and five analyze the current supply pattern of Chinese welfare lottery system, which describes government-led pattern in detail with four dimensions of financing, allocation, provision and delivery. Chapter six summarizes the characteristics and reasons of government-led pattern Chapter seven is the experience of other lottery welfare supply pattern. Chapter eight comprises policy recommendations. Chapter nine concludes this study.Chapter two reviews the relevant literature regarding the following three themes: lottery management, lottery fund supply machanism, and welfare effect of lottery fund.Chapter three is theoretical analysis and framework of this study. Fistly, it sorts out the basic theory of lottery fund and welfare supply, including the redistribution of national income theory, multi-center governance theory. Secongdly, it also establishes an analytical framework of lottery fund supply, which analyzes the dimensions and different patterns of welfare supply. Finally, it analyzes three different welfare supply patterns of lottery fund, comparing the characteristics of territorial scope of application, regulatory agencies, direct provider of welfare (producer), fund guiding, monitoring, assessment, social conditions, among others.Chapter four summaries the dimensions of the financing and allocation of welfare lottery fund institution. This part analyzes the raising organization, regulatory institution, funding system from perspective of financing. It also analyzes the principle, structure, population from perspective of allocation. Chapter five analyzes the welfare provision and delivery of lottery fund institution. It includes provision form and funding program from perspective of provision. This chapter analyzes the subjects' behavior and delivery process from perspective of delivery. It concludes that the current Chinese lottery fund is a typical government-led pattern of welfare supply.Chapter six summarizes the characteristics of government-led pattern, including investing preference and difficulties and reasons of current welfare lottery fund.Chapter seven observes other patterns of lottery fund, including the Hong Kong Jockey Club pattern, Shenzhen's "seed" fund pattern, and Shanghai venture philanthropy pattern. Chapter eight infers the direction of multi-centered governance, provides a new perspective and pathway of problem solving. Chapter nine is the conclusion.This thesis presents the following conclusions through the above analysis.1. The aim of welfare lottery fund is "supporting the old and the disabled, save the orphans and the poor," which has made tremendous contributions for the welfare of the aged, disabled people, children and other disadvantaged groups.2. There are many problems in financing and allocation of welfare lottery fund, which focuses on the following fields. The central authority's retention ratio is too high within the hierarchy structure. Also,local governments lack of autonomy. The local retention is concentrated at the provincial and municipal levels, and the county and township governments lack rights. Half of the fund is allocated to eastern areas within the distribution structure; there are unbalances within regions. At the same time, the fund is mainly invested in urban areas; consequently, there are unbalances within urban and rural areas.The fund is invested on infrastructure construction; there are also unbalances within the welfare form structure.3. There are some problems in the welfare provision and delivery system of lottery fund. Firstly, it shows the huge gap between demand and supply of welfare projects. Provision forms focus on infrastructure, ignoring social services; focus on huge-scale program, ignoring small-scale program; focus on achievement project, ignoring the need of welfare object. The lottery fund is facing difficulties regarding project review and evaluation:the standard of fund using is single; it is hard to promote innovation; project evaluation methods lag behind to measure welfare.Secondly, the welfare lottery fund has typical characteristics of welfare delivery: strong performance orientation, sector competition, opaque operation, shortage, and plunder of welfare funds. This feature has certain financial universality; it is a microcosm of welfare supply process and it is also a microcosm of the system of Chinese finance and supply of public goods.4. The single-center welfare supply causes many problems because government is the only subject in different systems such as financing, allocation, provision, delivery and so on. The welfare services provided with the inevitable inefficiencies and performance orientation because the whole process is all done in the public sector, include acquisition of demand preference information, the quantity-type and other aspects of the regulation, production and distribution.5. At present, China's lottery welfare supply institution can be summed up as three patterns. There are traditional government-led pattern; Hong Kong Jockey Club, represented social-led model; the government-social cooperation pattern as the representative of Shanghai, Shenzhen and other places. Each pattern has its advantages and disadvantages, and the applicable conditions are different.6. "Multi-center" provides a new perspective for the welfare management and policy optimization. "Multi center" emphasizes that the supply of welfare goods should be a symbiotic mechanism. The government, profit organizations, non-profit organizations should be cooperation to provide welfare. This will make up for the inefficiency and insufficient respond of the single subject for welfare supply.