The Effect Of The Province-county Directly-relating District Financial System On The County Economy

Since reform and opening up, China's government to promote economic development in the financial system has also conducted experiments and reform. These reforms in the mobilization of local economic development initiative will help rationalize the structure of our financial system has played a positive meaning, and achieved good results. For example, the reform of the tax system in 1994, the central and provincial from the financial relationship between the institutional and financial powers to the delineation of powers are relatively clear box set. This reform is based mainly on the central and provincial levels of this reform, the provincial level and below the financial framework set no clear down, resulting in county government powers and the limits of the financial authority are unclear, and not conducive to the rational use of county financial County economic development tool for the development of the county economy, causing a certain obstacles.The 16th National Party Congress put forward the "county economic growth" the grand vision, and accelerate the development of the county economy as the country's important strategic deployment. Many of the country's provinces with the province's realities, and actively explore the financial system to the development of the county economy. Zhejiang Province has been implemented the province-county directly-relating district financial system, which played a good role in promoting the county economy, making the overall level of the county economy in Zhejiang in the top of the other provinces played a good role model. Since 2003, the country's various provinces and cities have begun in the county's financial structure of the pilot. This paper mainly on the management of the province-county directly-relating district financial system, to explore its promotion of the county economy and the operation mechanism of empirical testing, and combine theory and practice aspects of analysis, put forward policy recommendations on how to improve and optimize the province-county directly-relating district financial system.In this paper, Chapter 1 is mainly on the management of the provincial origins of the province-county directly-relating district financial system and the significance of this paper on the basic analysis methods and the focus of this framework, as well as difficult and innovation; Chapter 2 is mainly on the theoretical literature ,with basic reviewed for this paper do a good job of foreshadowing the depth. Chapter 3 is about the financial system in the county to promote the development of the county economy from the financial operation of the separation of powers perspective and commissioned - Acting relations point of view of economics; Chapter 4 is on the basis of the above analysis , focuses on the management of the province-county directly-relating district financial system in the county from the county supply of public goods,upgrading of the industrial structure,the construction of small towns and the impact of the non-economic impact of these four aspects to promote the development of the county economy; Chapter 5, through to establish a theoretical model, Zhejiang Province 57 counties (cities) of the 1994-2006 data for a sample of empirical analysis; Chapter 6, with the former the theoretical and empirical analysis of the County of the province-county directly-relating district financial system gives policy recommendations and tries to ascertain the optimum proportion of the fiscal decentralization between the province and counties ; Chapter 7 will summarize the research method,research process and the conclusion.