The Research On Inter-governmental Transfers Based On The Conditions Of Equalization Of Basic Public Services

After thirty years of reform and opening up, China has made great leaps in economic and social development. Now China has making a transition from economic growth-oriented society to service-oriented society. In this context, the people's livelihood is particularly important, especially in the way of achieving the equalization of basic public services. To achieve the equalization of basic public services, inter-governmental transfers are an important method. Therefore, it is of great importance to improve the inter-governmental transfers system, and let it play a better role in the equalization of basic public services.In this paper, the status of basic public services supply is analyzed through three areas: medical and health services, education and social security. The overall supply is insufficient, and the quantity of public services in different regions are unequal due to unbalanced economic status. In achieving the equalization of basic public service, current inter-governmental transfers system still has some problems. Such as the overall payments are small-scale, the payment structure is partly irrational, as well as the allocation method is imperfect. The causes of these problems lies in the complexity of divide inter-governmental administrative rights and financial power, as well as unclear of the goal. In this paper, we take the compulsory education as an example, and build a model to calculate the standard fiscal expenditure demand between different regions, which take the overall expenditure of compulsory education, the government fiscal burden, the average years of compulsory education and the regional different development index as factors. Through this model, we can calculate the difference between the standard expenditure of compulsory education and the actual expenditure of compulsory education in different regions. Then we can find the direction of complete the inter-governmental transfers system.At last, according to China's national conditions and the experience of developed countries, this paper presents five countermeasures to perfect the inter-governmental transfers system in China. First, improve the structure of the inter-governmental transfers system, including increase the scale of general transfer payments, adjust the tax return funds and institutional subsidies, and integrate part of the financial transfer payments, etc. Second, complete the horizontal transfer payments system, which means regular some regional assist-related behaviors by law. Third, transform the government functions from the administration-oriented government to service-oriented government. Fourth, divide the administrative rights and financial power between central and local governments in order to improve the efficiency in using funds. Fifth, complete the supporting measures of inter-governmental transfers system, including refine the transfer payments related contents in law, as well as establish coordinate agencies to conduct the examination and supervision of the inter-governmental transfers.