The Research On The Optimal Allocation Of Public Education Investment In China

Educational and education charge problem is a most concerned topic today. The education investment is the most important constitutent of human capital investment. The stock of human resources in a country is an important factor determining its economic, social and scientific development. Therefore, it is necessary for the government to optimize the public educational resources allocation.In order to optimally allocate public educational resources, we should have a clear understanding of the connotation, standards, principles, status quo and the approaches employed, and this is the flow of thought in what follows. Since public education attainment is a blended products of public and private products, it is naturally that educational investment should be undertaken by both the government and the person involved. According to the cost revenue analysis, the revenue rate of educational investment comprise of private revenue rate and social revenue rate, the educational investment by the government, therefore, should refer to the social revenue rate. Education investment by the government must observe the equity principle and efficiency principle to place educational investment in such an equilibrium point between equity and efficiency for the sake of the whole society's harmonous development. According to the appraisal system of educational investment, using such empirical methods as the total quantity index, lives even real diagnosis mehtod and Gini's coefficient, I analysed in this article the disequilibirium allocation of educational investment among the different levels, different regions and even the internal education as well as insufficient total educaiton investment. There remained a long distance from the optimal standard. All these can be attributed to the economic, institutional and recognitional reasons.As to how to optimally allocate the educational investment, the following measures can be taken into consideration: the government should make the optimal decision through the macroeconomic regulation, continue to open up social channels to fund education, introduce competitive mechanism, innovate education investment system; increase investment in educational infrastructure and R&D research, optimize the private section of the government educational funds and increase the proportion of public section; enlarge the mid-west education investment, implement free compulsory education and increase the scholarship to the graduate education; in the specific decision-making situations, educational investment optimal allocation model under the priority strategy can be taken into consideration. The compulsory education investment allocation should observe the principle of "equity first, efficiency second", while for the mid- and high education, the reverse applies. Therefore, we should speed up the reform of our public education investment system, better the educational investment from the system perspective in order to achieve the total quantity and structure equilibrium as well as maximizing benefits.