Study On The Local Government-oriented Economic Development Model

Since the reform and opening, China's economy maintained a thirty years of sustained and rapid development. Market system contributed to the establishment and development, but China's economic growth mechanism and the inner mechanism is indeed puzzling. Since many of the economic system reform, decentralization arrangements, making the local governments in the primary stage of market economy, greatly reduced the old system to the cost of conversion of resistance and reform quickly and smoothly to form a highly competitive market environment prompted the country quickly out of the shortage economy difficulties. This institutional arrangement being such a combination is called the local government-oriented economic development model.This model of economic development expand local autonomy, local governments began to make sense with stakeholders, the activation of the system of innovation enthusiasm and sense of competition. GDP performance in view of local government and economic interests, driven by localized, in the pursuit of GDP growth, foreign investment inflows and export growth and other macro indicators in a fierce competition to promote the optimal allocation of resources, indeed the formation of a booming situation. At the same time, the existence of local government behavior "abnormal" tendencies:local protectionism, local government, "corporatization" of local government "investment impulse preference," and brought some disharmony factors:differences between urban and rural areas to expand, social development lags behind, the shortage of public goods, the government reduces political trust, increase in social tensions, environmental degradation and pollution and serious social conflict and environmental crisis, appeared in large numbers.In this paper, the local government-oriented economic development model described the relevant concepts, analytical, comparative basis, the local government-oriented economic development model has defined the basic content, the development model on the one hand obvious "development" Characteristics, the local government is in development, especially the pursuit of economic development as the basic value of the area under the call and mobilize forces and resources; the one hand, significant emphasis on "local"features, driven by local interests, to mobilize and re-Arrangements for a variety of economic resources within the region. Pointed out that the current Local Government-oriented model of economic development and the behavioral characteristics of the local government formed the theoretical basis of this model. The model discussed in the initial stage of market economy and play an irreplaceable role, in particular, discussed the local government of China-oriented economic development model of Local Government under the "abnormal"tendencies: local protectionism, local government, "corporatization " of local Government's "impulse to invest preferences. " Theory of institutional change through the use of the results of this model that the history of the formation and development stage, is the product of the initial stage of market economy is a transitional rather than permanent; and from local governments in China are discussed economic development-oriented Reconstruction of the route choice model:reduce local government control of social and economic resources; to improve the level of national planning, promote inter-regional collaboration; the implementation of the equalization of basic public services, sharing results of the reform.