Review On The Supply Of Elementary Education From Public Finance

The first part of the paper analyses the public nature of financial policy. Fiscal policy is the important means the country's macroeconomic regulation and depends on the nature of the nature of the State .Now; we turn to explore the nature of the State. The two characteristics of the countries: her nationals divided by region and public power. Public power shows the state's public nature, reflecting the state as a whole society, from the maintenance of social existence and development of the overall interests, so that was in power, the public nature of the State rose to No. 1 position.The public nature of finance comes from the public nature of state, from 19th century to the first half of the 20th century. Searched of France said his view on public finance in his book "Political Economics new principle"; Free competitive capitalism, Adam Smith's theory ;monopoly stage, the Keynesian doctrine, who had their own idea on Financial However, regardless of its financial functions and roles changes, financial nature determined by the existence and development of the public is not changed. It is for safeguarding national sovereignty and the need to participate in the socio-economic management activities. Therefore, the public nature of the objective and the inherent attributes.Public finances are the distribution of public services or the economic activity supplied by the market. It adapts the market economy. The main characteristics are to compensate the market failure and market imperfections. The reasons of market failure are that the existing of public or quasi-public, Elementary education is a kind of quasi-public goods having the strong positive spillover.Cost -- proceeds theory analysis products having positive spillover their private income and social benefits is inconsistent. The difference is external receipts. Educational products, especially basic education, have a large number of external receipts. As the spillover of the existence, the costs and benefits asymmetry, this will affect the market in the allocation of resources efficiency. Because private investors decision is only likely to bear the actual costs and the proceeds, the spillover benefits are not paid to the situation, would be less choice and even abandoned in these activities. This is market failure and shortcomings. Therefore, the government must have the involvement and intervention.After analyzing the effectiveness of elementary education as quasi-public products, we can conclude that government was in the leading position during the supply, which does not exclude the private sector's participation; the private sector can invest in both school and play the role of education providers, but also as the producer of basic education in the supply of public school competitive process. As compared to other types of educational products, elementary education has stronger public nature and is an important component of the public service. Therefore, the government should be the most important subject for supplying the basic education; the small-scale private supply can be increased resources for education. But in the entire national elementary education, the private sector is in the position Now, as equity and efficiency values, policies in the history and realistic choice, and barriers to the participation of the private sector, China's supply of basic education is widespread lack of government input in education, education is not fair, the inefficient use of educational resources, and other issues. Trough information and data, the second part summarized three aspects problems in the current basic education in China.Then, the third part of the article analyzes the reasons of various problems in basic education.First, on the value of giving priority to efficiency and tax system lead to inadequate input in the financial education, fair is not paid attention from fiscal policy. 1, fiscal policy did not reflect the fair priority; 2. the tax system greatly weakened basic education inputs of the area ,which are t the middle level of development, and the middle - to-lower level of development ,in quite a long period of time, the central government and provincial governments did not to afford the corresponding responsibilities.Secondly, the difference between urban and rural education rooted in the dual urban-rural economic structure and social structure. 1, from the perspective of the social system, China's long-standing opposition to the division between urban and rural's dual economic structure and social structure, are the main reason of serious differences in the urban and rural education; 2, from the perspective of the education system , China's current education system, in fact, there is a serious difference between urban and rural areas. There are an educational opportunities recognizing and the allocation of educational resources on some inequality. This is the other reason for the difference between urban and rural education system.Third, the supply style of the government led to double loss at efficiency and fairness. 1, as the current government monopoly supply and production model, the use of education resources is inefficient; 2, the government and public institutions themselves have "Economic Man" features, leading to a basic education unfair.After the level of theory analysis, Part IV of article also addresses the realistic solution to the public education from public finance.First ,on education supply shortage. 1, the priority to establish a fair value; 2, the institutional level, increase investment in education tax system reforming and improving the tax system, reforming the educational budget management system.Secondly, the difference between urban and rural issues. Narrow differences between urban and rural education, on the one hand, depend on the change and improvement of macro-environment system: 1. Co-ordination of Chinese urban and rural residents to share proceeds of the public system; 2 continue to increase the poverty-stricken areas of basic education efforts, implementation of the poverty-stricken areas of transfer payments;3, will flow to the mobile population of compulsory education into the public scope of the support. Meanwhile it should strengthen the education system and the education policy of self-reform: 1, adhere to both development between basic education of urban and rural development;2, strengthen the reform for the weak rural school .Finally, change the style of educational products supply. 1,limited and conditional introduce market mechanisms to education;2, limited introduction of education voucher system, to separate basic education providers and producers ; 3, by establishing the principle of differential,,maintain the governmental strong regulatory to the operating of education market system,establish vulnerable compensation system,change the activities paradigm which are traditional choice of a single government education policy,establish the public participation institution for educational common management, the social system of innovation will come to win-win situation on the equity and efficiency .In short, education is base for a national rooting in society, as well as the fundamental national development. China's education development is at a very crucial period. The government and market mechanisms of coexistence of resources allocation to the development of education are opportunities as well as challenges. An urgent need for the government to the restructure way on development, deepen the reform .The author insists that the reasonable choice for basic education in contemporary China is between efficiency and equity. not go to the one or the two ends, as this reform ideas above, First, holding the values of fair priority , improving,innovating and reforming the relevant social and educational institution , the continue increase of government supply of basic education will grow education welfare, which reflect the modern political science and public administration, the value of social activities to protect public welfare and social equity for the government's basic responsibility ; Secondly, assure the prerequisite of governmental main position supply, limited and conditional introduction of market elements, the involvement of private enterprises, on the one hand, to increase the resources for education, on the other hand, is conducive to creating a competitive environment, raise the utilization rate of resources, come to efficient education supply .Therefore break the conflict between market and education fair, achieve the elementary educational "win-win." Situation on fairness and efficiency, under the current specific historical, social, educational conditions.