On China's Educational Investment Diversification

Along with the knowledge-economic times arriving, the development of the technology and information industries, the education has become a basic industry with strategic significance. Education investment subject pluralism is the prerequisite for the implementation of the strategy of education development, and it could not only enlarge the investing scale, but also achieve great benefits for education investment from the competition among variable investors.First of all, according to the basic theories of education investment, this paper classifies education investors and defines each of them, involving government investment and civilian investment that is compose of investment from corporations, personal and foreign capital.Second, based on the successful experience of Education investment subject pluralism in foreign country, the paper analyze the feasibility of Educationinvestment subject pluralism in our country, considering four angles--society,economics, politics and the law.Third, this paper represents the current situation on education investment in China from several facets to this question, such as investment scale, outlay source, the development of civilian education and etc. Many problems present along with the development of Education investment subject pluralism in China, the problems are not only in the government but also in the civilian investment. To the government, appropriations are inadequate, especially on the fundamental education, and the structure of educational investment is unbalanced, the investment interest is low. To the investment of civilian capital, the problems are short of fair market environment, effective management system and perfect corporate structure.Then, this paper analysis the reason of these problems, through three respects as society cognition, economics and the system.In the end, in order to solve these questions, the paper comparing with foreigncountries and combining our country's situation, put forward some suggestion. The paper suggest the government and the civilian investment should be combined, restrict and promote each other. The government should play a leading role, increase supply in education, encourage, support and supervise the private education, perfect relevant laws and deepen the system reform of investment. The civilian capital investment should build up its own advantage through shareholding system or setting up the educational group. Private education could enter the capital market in order to raise the educational fund.The innovation of this paper lies in government educational investment and civilian educational investment are combined together, and through comparing with foreign countries and combining our country's situation, point out our country should distinguish the for-profit educational institutes and no-profit educational institutes, and put forward the suggestion that the folk capital can utilize the capital market to finance indirectly.