The Preventive Measures On Moral Hazard Of The Urban Minimum Living Standard Scheme

"Minimum Living Protection Ordinance" is a kind of guarantee system to regulate the minimum livelihood for urban residents and to ensure the urban residents'basic livelihood, which is promulgated by the State Council executive meeting on October 1, 1999. Since the China's urban minimum living guarantee system is builded, which played an important role, but it can't play its function into full because of the existence of moral hazard in the process of implement. "How to prevent moral hazard" is worthy of considerable theoretical and Practical topic.The purpose of this paper is an attempt to perfect the response and suggestions of the Minimum Living Security System. This paper analysis the performance of the moral hazard in China's urban minimum livelihood guarantee system., and to find the reasons from system design and implementation perspectives, which combined with the practice of the minimum living standard security system.This paper uses the literature, normative analysis and field survey to explore Countermeasure for preventing the moral hazard of urban minimum living standard security system. First, this study originated from the author found a range of issues in the literature. In order to seeking solutions to this problems,I consult my tutor, experts and read some relevant information, and then get these moral hazard problem. Second, I focus on collecting information to Carding the Related theory about urban minimum living allowance, moral hazard and the theory of fairness and justice. By analyzing the performance characteristics and reasons of moral hazard, the existence of moral hazard play an negative impact on the healthy of the urbans'Minimum Living Security System. Then in the vacation , I Confirmed the theoretical analysis through the further field investigations and Interview the Minimum standard of living. Finally, this paper propose the Countermeasure for preventing the moral hazard of urban minimum living standard ,which combine with the analysis of the causes for the existence of moral hazard. In my opinion, the Countermeasures for preventing the moral hazard of urban minimum living standard are as follow: First, we can improve the urban minimum living security system architecture from these angel: development of science standards, strengthen the construction of minimal assurance supporting policies, improvement the legal system of urban subsistence allowances, optimizing service information system of urban subsistence allowances, Strengthening social supervision mechanism system of subsistence allowances, improve the financial allocation system. Second, in order to Control of local governments and grass-roots staff moral hazard,we can Strengthen the internal management of local grass-roots, Train a large number of professional workers in subsistence allowances, and clear division of the relevant government departments. Third, in order to control the moral hazard of Minimum Living Standard object, we can strengthen the job training of Minimum Living Standard object, improve the Ideological quality of Minimum Living Standard object , accounting classification for Real income of poor families, and Pay attention to the masses'supervision .