Research On Reform About The Supply Of Rural Public Goods In China

In social public goods, rural public goods account a substantial proportion. At present, due to the lack of effective supply of rural public goods, a series of problems related have given a rise, which greatly hampered the economic and social advancement in rural areas of China. In accordance with the basic principles of public finance, reconstructing the present supply system of rural public goods and strengthening the government input into rural public products are essential means in narrowing down the gap between urban and rural areas, and unifying the macro-management of urban and rural economy and social development; are key to establish public finance system and solve the problem of "Three Agricultural Problems"; are significant measures to better transfer the current rural financing mode up to the degree appropriate for china's entering into WTO.This thesis, from the perspective of public finance, having the public finance theory and current china's real rural situation into consideration, intend to make research on problems existing in supplying rural public goods, analyze the roots of these problems and try to find feasible solutions to these problems. This article has employed methods of theoretical analysis, case study, quantitative analysis and qualitative analysis and is developed in order of questioning, analyzing and problem- solving .It takes five parts to finish the whole.The first part is a brief introduction of main theories on public finance. The definition, characteristics of public goods and the theory of public goods supply have been stated comprehensively. On such basis, the concept of rural public goods together with its feature and classification has been explained emphatically, which has laid a theoretical foundation for the full text.In the second part, problems in rural public goods supply have been put forward. They are: 1. Effective supply is insufficient which greatly restrain the further development of rural production and prevent the upgrading of the living standard in rural areas. 2. The unbalanced supply structure diverges from the market demand causing huge amount of waste in resources3. Outside financing system has shift much more burdens on rural people. All these problems have restricted social advancement and exert negative effect on rural economy.What are reasons for above-mentioned problems? The third part carries on an3in-depth analysis: First, in terms of supply object of rural public goods, the supply body once existed in planned economy-the people's commune has already passed out. Now it is the government at all levels that have taken the place. Because of unsuccessful fulfillment of its transitional duties in supply controlling, the effective supply of rural public goods is insufficient. Secondly, in terms of decision-making mechanism on supply, the decision-making mechanism from top to bottom is an outcome of planned economy. Under the new condition of market economy, rural people have become independent economic entity, so they have their personal preference on the goods they supply. As a result, this kind of mandatory decision mechanism obviously can't meet the rural people's demand any longer. Thirdly, in terms of financing mechanism, the current system of rural public goods bears features of planned economy. Since the reform and opening of china, basic changes have taken place on rural property rights and distribution system. Meanwhile rural people have become independent economic subject. Taken these into consideration, the system of financing from outside is already out-dated so as not to meet rural people's basic interests. It not only heavies rural people's burden but also cause inflation. In a word, the current existing system of supplying rural public goods has been turned out to be inefficient in promoting economic development in rural areas and social development. Consequently, reform and innovation are requested in system construction according to the demand of market economy and establishment of public finance.Under the condition of market e...