From Municipal Supervision Of County To Provincial Supervision Of County: Studies On Transformation Of Financial System

Since the reform of finance and taxation in1994, it has had a clear specification of the relations between the centralauthorities and provincial level, but it is still lack of the clear specification of the relations of the financial distribution amongthe administrative organizations in the provinces or below the provincial level. Until now, the financial and business powersare still disordered owing to without a unified approach of division. The so-called fiancé below the provincial level speciallyrefers to the local fiancé of the administrative organizations in the provinces, cities, counties, towns. With the administrativereform being deepened gradually, the improvement of Administrative efficiency has been constrained by the administrativemode of County Administrated by Municipality. Many problems have appeared due to this financial system. On the one side,the county—level governments haven’t enough sources of income so that the normal activities are restricted. On the otherside, the county-level governments bear excessive business power, which mean much more administrative expenses. Thiscontradiction leads to the public service supplied by the county-level governments lagging behind the demand of the public.Thus it is necessary to promote the financial system---County Administrated by Province now.In this paper, based on the administrative theory.Fourthly, how to allocate the interests among the governments ofprovinces, cities, and counties is also a problem. On the basis of using the experience of financial reform at home and abroad,combining with our country’s actual situation, the writer puts forward the recommendations to improve the financialsystem—County Administrated by Province ultimately. No matter from the practical sense or the theoretical development ofthe system—County Administrated by Province, it all has the positive meaning.