On Researching Of Reducing The Disparity Of Regional Economic And Constructing The Harmonious Society

Economic development in different regions in China is not equal everywhere. In fact, excessive regional economic disparity can bring about many passive effects. Since 1978, the reform and opening of China, regional disparity has increasingly expanded. Our country has become one of the countries, which has serious regional disparities, which hinders the construction of a harmonious society. Moreover, this severe fact demands that we Chinese theory and policy research to reduce the disparity of our regional economy.The paper specially researches the issue in terms of taxation policy. First, the paper analyses the theory and necessity of reducing regional disparity. Regional disparity is mainly attributing to the malfunction of marketing, so the macro regulation is needed to reduce regional disparity. Secondly, the paper uses positive analysis to describe regional economic disparity. In China, by comparing the primary economic index, my paper shows the present condition of regional economic disparity, also, it analyses the tax factors that expand the regional disparity. Thirdly, the paper analyses the effects of tax-policy on the development of overall regional economy. Then, by means of introducing other countries using tax-policy to promote the development of regional economy, the paper sums up the general experience. Finally, the paper puts forward the measures of reducing the disparity of regional economy from the principle of dealing with the relationship of regional economy. The tax policy, promoting the acceleration of the development of the middle and western China is the major point of this paper. Three aspects are emphasized: optimizing taxes category, improving the system of tax distribution, and improving the tax preference. Tax-policy is only one way on adjusting regional economy. It must coordinate with other financial policies to promote the development of regional economy.