Research On Efficiency And Mechanism Of Public Transport Subsidies

Public transport is the social industry involving people's livelihood,its operation management and service level is the concerning focus of government and society public.Government gave the financial subsidies to bus enterprises based on economic,environmental protection and social equity from the perspective of social welfare.Because it can compensate the loss of bus enterprises and maintain sustainable management.With the implementation of public transport priority development strategy,the amount of financial subsidie have growing rapidly,which bring the burden and impact to some local governments.So,what kind of way to subsidize and what effect and impact of subsidies become the emphases for research.The current study shows that,the public transport subsidies would bring the problem of social injustice and enterprise management inefficiency.They believed that improper subsidies may cause the bus enterprises lacking motivation to improve the bus service.It would also increase the operating costs of bus enterprise,and debase public transport productivity,which caused the resource allocation distortion of input elements to bus enterprise.This make a situation that the more subsidies to government and the more loss may occur to bus enterprise.Therefore,under the background of public transport operating system and subsidies policy in China,it's important to study the efficiency and effectiveness under subsidies policy,to seek a reasonable subsidy mode.Based on the basic characteristics of public transport subsidy,target,mode and subsidy effect,the basis theoretical and influence of subsidy is firstly discussed.According to China's subsidies policy,the influence of subsidies to industry production efficiency and enterprise operation efficiency are studied,which reveals the influence mechanism and path of public transport subsidy.It enriches the efficiency theoretical system of public transport subsidies,and provides guidance for improving the efficiency of China's public transport subsidy.Based on the perspective of social benefit,the optimal evaluation model of bus subsidy mechanism is established.And then the subsidy effectiveness is assessed from the source of funds and subsidy mechanism.And then according to evaluate results,this paper design a new method of performance subsidy mechanism,and then verify the method is effective and reasonable using case analysis.It expand the subsidy system and performance optimization theory of multi-mode bus subsidy mechanism,and also provide important reference for improvement of public transport subsidy mechanism in China.The main research contents and conclusions are as follows:Firstly,from the perspective of total factor productivity(TFP),this paper studies the impact of financial subsidies on TFP of public transport in China's large and medium cities from the year of 2008 to 2013.The study found that public transport subsidies promotes promote TFP growth,showing that the positive role and significance of financial subsidies.But the growth contribution of public transport subsidies on TFP is smaller,and the proportion decreased year by year.Promoting effect to development public transport industry for subsidies remains to be played,it is necessary to improve the public transport financial subsidy mechanism.Then,from the perspective of operational efficiency,the operational efficiency of public transport is decomposed into technical efficiency and service efficiency,the impact of financial subsidies on operational efficiency of public transport is studied,using stochastic frontier analysis method and bus operation panel data of China's large and medium-sized city from the year of 1990 to 2013.The external influence factors is also analyzed.It's found that public transport subsidies have a positive effect on technical efficiency and service efficiency,but it's significant on improving the technical efficiency of public transport.Although public transport subsidies can improve the technical efficiency and service efficiency,but this positive impact has a critical point,when the subsidy amount exceeds the critical value,it will reduce the operating efficiency of public transport,and play a negative role.The efficiency of public transport still affected by external environmental factors,the income level of residents,private cars ownership and rail transit have a negative impact on operational efficiency.Bus regulation policy has a significant role in promoting the operational efficiency.Third,from the perspective of social welfare and marginal benefit,in order to improve the efficiency of public transport subsidies based on the influence analysis of current subsidies,this paper analyzes and evaluates the effects of subsidy mechanism,including three kinds of funding sources and four kinds of subsidies way.The funding sources is financial budget,car tax and public transport enterprise internal cross subsidies.And the subsidy way is non cash subsidies,cost subsidies,performance subsidies and fare subsidies.The government,enterprises and passengers of three object are considered in model.It's found that it's necessary for the government to explicit the subsidy funding sources of public transport.In the case of sufficient financial resources,financial subsidies should be given priority.In different subsidies way,the amount of performance subsidy is lowest,and the social welfare is better,followed by cost subsidies.In the pursuit of social welfare maximization,faresubsidies need to pay a higher amount of subsidies.At a loss of public transport,the government should give priority to development public transport and implementation traffic demand management policy,through the non cash subsidies to change the bus operating environment,improve the level of social welfare.Finally,based on the characteristics of performance subsidies,in order to play the role of performance subsidies,the case study of public transport performance subsidies is applied.The minimum public service concept of public transport is proposed.Performance subsidy mechanism of two-layer model is designed,based on the route subsidy budget constraints and region subsidy budget constraints.A case study is given to illustrate the reasonability and validity of performance subsidy mechanism.The performance subsidies method which we designed can provide some theoretical reference for the government to improve the financial subsidy mechanism,to play the effectiveness of financial funds,and to enhance the attractiveness of public transport.