Research On Fiscal Expenditure In Rural Compulsory Education Areas Of China

Since State Council promulgated the Compulsory Education Law in 1986,we have made the nine-year compulsory education universal for 20 years and got a great achievement in popularization of compulsory education. But compulsory education in rural always faces many dilemmas. Being in arrears with teachers' payment, the badly insufficiency of public education expense and the no-guaranteed basic office condition in rural school have become the most difficult problems. Certainly the rural compulsory education is public goods. It is supplied by public section. However, it is difficult for us to select one supplier from both enter government and district government. In the case of China, the "county-level" administration mechanism for compulsory education in rural areas has been complemented since 2001. The focus of the government's investment system for rural education has been moved up and those schools in the central and western areas have got much more funds from the transferred payment of the central government's finance. But the task of the compulsory education in countryside is still completed by district government, especially county government. The central government andprovincial government are only in charge of a little among them. However, since mostof the county government do not have sufficient financial capability , there still lacks a stable guarantee of enough funds for rural compulsory education. Therefore, there exist two unbalance in financial expense of the rural compulsory education: horizontal unbalance and vertical unbalance. The two unbalance have resulted from the financial system of the compulsory education in rural areas at present. The finance system has made those governments above county level not to share the rural compulsory education expense in term of their capability. Almost all the rural compulsory education expense comes from county government. Namely, because of theunreasonable structure of finance expense in all level government, unbalance in allareas come into being and will continue to be enlarged. Thus, this thesis hold that the mode transition of the national financial system towards the public finance systemshould be accelerated and a well-coordinated, rational, clarified, regular and stable mechanism for guaranteeing enough funds for rural compulsory education need to be established at once. But our public finance system was be coming into being. Public goods in rural compulsory areas are not supplied in term of social preference and were influenced by the system of all level governments' achievement. Before establishing a well-coordinated, rational, clarified, regular and stable mechanism for guaranteeing enough funds for rural compulsory education, we, first of all, must change the system of all level governments' achievement. In the same time, tasting kinds of capital in the rural compulsory education area are also prohibited.