Research For The Reform Of Fiscal Spending Management

Our Country's fiscal spending management system was formed at the beginning of 1950's based on former Soviet Union fiscal management system which was designed for central control economic system .There are some disadvantages in this traditional fiscal spending management.For example,budget scope is too extensive; content of budget is inaccurate;method of setting up budget is unscientific,too short of time,etc. After the P.R China was found, our fiscal management system was reformed many times in different historical period and different economic climate but all those reforms only focused on financial income management.Especially in 1994,the establishment of tariff subheading system changed the financial income management system to fulfill the socialistic market economic requirements and broke the old central controlled fiscal management system.Public spending control is the timeless theme of government fiscal management. To change government function and establish standardized marketing system we have to break current fiscal spending system and set up a new one. As the best solution of efficiently adjusting and optimizing the scope and structure of fiscal spending,this change reflects the demands of government' new functions under the condition of market economy,and will strengthen the budget binding force and the transparency of financial distribution.This change also includes drawing up public expenditure budget scientifically,controlling the total amount of public spending reasonably and setting up healthy management system of public expenditure budget.Although we have made some progress in the reform of fiscal spending,we have not left the shadow of traditional planning economy.This research paper starts with listing the shortages existing in current fiscal spending management.This focus predominately analyzes and explicates the reasons of why reforming the fiscal spending management system on the different aspects such as: supplement scope, department budget,government purchase, state treasury central income and expenses and computerized budget administration.Focus on these problems,I also used western country's advanced administration model tailored to our country's current situation to generate some remedies and solutions for how to set up our new and improved system of fiscal spending management system.