A Research Of Local Public Goods Supply In Underdeveloped Territory

Local public goods problem is a important part in public goods theory, especially, the supple of public goods in underdeveloped territory played a key role of economic structure transformations and local economic development. According to the basic theory of public goods, this article introduced the definition of public goods in many ways, such as semantic, content, and analysis. And also it described the character, category and validity condition of supply of public goods. Based on these contents, it distinguished national public goods and local public goods and educed validity supply condition of local public goods which pointed out that central government is inefficient to supply local public goods. Whereafter, this article brings forward the definition and character of underdeveloped territory, pointed out that the underdeveloped territory is a compound concept which rather than comprehend from simplex dimension the economic development, but colligated multidimensional meaning contained expect longevity, educational level and average populational GDP. Analyzed the actualities of underdeveloped territory in macro-aspects in China, it pointed out that there were gross inadequate, structure disequilibrium of local public goods supply, and so on. There were many reasons contributed to these problems, such as low-using efficiency of capital, constraints of local fiscal and public administrant institution of underdeveloped territory, and so on. Aim at these problems, this article brings out a fixed Tiebout model, Tiebout model of underdeveloped territory, and points out it is meaningful for local public goods supply of underdeveloped territory in China.