Research On The Intergovernmental Transfer Payment Effectiveness In China

As intergovernmental transfer payments increase annually, the effectiveness problem gets more attention. This paper is based on the defining the effectiveness of the intergovernmental transfer payments, apply DEA model, 2007 and 2008 China Statistical Yearbook data so as to test the efficiency of 31 provinces, cities or municipalities of the six basic public services in the production department; Secondly, in order to know whether the level of public services could meet their basic equal, apply basic public services and financial ability and 2007 transfer payments data.Through testing, this paper has the following conclusions: our government has played an must balance between governmental transfer payments, specifically on the performance of the western region in particular; the level of public services have improved; transfer payments are inefficient, the overall efficiency is not high; the performance of the horizontal balance between the existing Government transfer payments is low. The causes of the low efficiency of transfer payments can be divided into two factors. Direct factors include the incompatible distribution of funds and the level of economic development, the low total size of transfer payments, non-standard use of funds, lack of legal basis of the security and transfer payments, such as unreasonable manner. Indirect factors are not enough construction to improve the institutional environment. Therefore, to improve efficiency, it is necessary to make efforts of the funds distribution, scale, use, legal basis, methods and system of transfer payments and so on.This article has some innovations: First, select the input-output efficiency as a main evaluation of the efficiency of intergovernmental transfer payments. Second, select the actual enjoyment of residents of the level of public services and financial capacity equalization coefficient as a supplementary study. Third, the factor analysis of the transfer payments has also paid attention to the system of environmental factors.