Research On Local Government’s Land Finance Problem

Since reform and opening, along with the economic development andurbanization. Local government revenue in the sale of the land accounted for abouthalf of the fiscal revenue of the local budget each year, and local finance reliesheavily on land transfer phenomenon caused more and more attention of the publicand academia. Then, what is the formation mechanism of the financial land model?Where is its system root? How is it to affect economic and social development?The paper analysis deeply on the status and impact of the financial land inChina, and draw on the basis of the land financial research, through in-depth study ofthe formation mechanism of the land finance try to make clear the reason which itwould be awkward to disclose for local government on the initial introduction ofland finances, and find out the motivation to expand the land revenue after tasted thesweetness, even understand the frustration of last unable to stop due to variousfactors resulting in the sale of land. Finally, in this basis, the paper propos thesolutions on the motivation and driving force of the produce of land finance.