Study Of Chinese Financial Expenditure Mechanism On Early Childhood Education

The financial expenditure mechanism of the early childhood education (ECE) study is helpful to strengthen tie between public finance and Economics of Education, also can help to solve problems in the ECE. According to different Expenditure targets, financial expenditure mechanism of the ECE can be divided into two categories:the supply-side subsidies expenditure mechanism and the demand-side subsidies expenditure mechanism.Since the founding, our government has been using the supply-side subsidies expenditure mechanism to support the ECE. But with the development of the reform and open policy, socialist market economy is established and developed rapidly, which lead to a huge change of the current supply and demand environment of the ECE. Following the old system in the new economic environment cause an economic inefficiency, also it is unjust. That's the Institutional factor of current ECE problems.First, the paper starts with sorting out the history of our country's financial expenditure mechanism of the ECE since the founding of the People's Republic of China, Using the public finance theory and the new institutional economics theory to find out the root of the path-dependent feature in the institutional transition of financial expenditure Mechanism. Then, the paper makes a depth discussion of current supply and demand environment of the ECE and the problems of the current financial expenditure Mechanism. Furthermore, the paper makes International ECE comparisons, especially draws on the experience of Hong Kong and Taiwan's financial expenditure mechanism of the ECE. Finally, on the basis of comparing the economic effects of different means of government support, the paper attempt to explore a feasible path method of our country's reform of financial expenditure Mechanism.