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Research On Demand Reveal Mechanism During Public Good Supply Process

Posted on:2011-02-19Degree:MasterType:Thesis
Country:ChinaCandidate:W YaoFull Text:PDF
GTID:2219330371963772Subject:Theoretical Economics
Abstract/Summary:PDF Full Text Request
General speaking, there are three problems to solve during the provide process of public goods: prevalence reveal, public choice and public goods management. In planed economy, our country's public goods provide determination mechanism is from top to bottom in order to supply public goods quickly and the preference reveal problem has been ignored. With the economic development, this system's shortcomings start to affect the efficient of the public goods supply. The citizen's preference determined whether the public goods can be proper product. This paper based on the existing preference reveal theory to discuss the possibility of change the current determines system. It focus on the most-used preference reveal model——groves mechanism and try to fix this model'os flaw——transfer pay. This flaw makes this model less of convincing. After the fix work, this paper try to use the preference reveal model into to China's practice by discussing how to decide whether a public toilet should be built.Result shows that if the"free-riding"problem has been solved by the preference reveal mechanism, the providing measures will be more diversification. With the strict rule of the citizen's preference, we can get the condition of the groves mechanism which will balance the transfer pay. During the process of using preference reveal mechanism in decide the public goods supply or not, the reveal way block problem and the incomplete use of revealed message and the tax system have do harm to the preference reveal mechanism activity. Adversely, the household registration system help the mechanism effect. If we can't peel off the public benefits attached to the household registration, using the preference reveal mechanism can improve current public benefit level.Reform the current household registration system can improve the citizen's public benefits. It also can push on the"service government"construction. But under the existing system, widely use of the preference reveal system can improve the citizen system. Also, though legislation to ensure the conventional access of preference reveal and reform the current tax system will promote the mechanism activity.
Keywords/Search Tags:public goods supply, preference reveal mechanism, groves mechanism
PDF Full Text Request
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