Study On Basic Public Services Equalization Between Urban And Rural Areas Based On The Local Government Behavior Perspective

Since the reform and opening up, China’s rapid economic development has maderemarkable achievements. The Chinese economy has entered into a new historical period.But, between the rapid economic growth and the non-equalization supply of public goodsespecially basic public, there is a strong contrast. The reality of inequality supply of publicservices between urban and rural is very serious. In order to promote the full andharmonious development of the whole society, in particular to promote the rapiddevelopment of the rural economy, Party and state put forward the policy requirements toachieve the equalization supply of basic public services in the number of governmentmeeting. To achieve the equalization supply on basic public services between urban andrural areas is the need for narrowing the economic development gap between urban andrural, alleviating social contradictions,and maintenance of common progress of society asa whole.This paper briefly introduces sets of important concepts, including public service,government actions and institution. And then, introduces sets of important theory,including the theory of public finance, welfare economics theory, theory of institutionalChange, principal-agent theory and government self-interest theory. Basic on these theories,there is a descriptive display about the non-equalization public services between urban andrural, including basic education, public health services, social old-age security system andpublic employment services. After the review of existing research, this paper want to finddeep reasons resulted basic public service non-equalization supply between urban and ruralfrom a new perspective. Authors believe that the self-interest of government officials is the causes of the local government’s city preference behavior. The behavior of city preferencesleads to the lack of rural public funding and structural imbalance. So, the behavior of citypreferences can contact the self-interest of government officials and the non-equalizationpublic services between urban and rural, I build a model and analyses how theInfluencing factors, such as the higher government, urban residents and rural residents ledto the city preferences of the local government. In turn, I look for the reasons of publicservices non-equalization between urban and rural, and establish a econometric model toprove my logic. At last, I suggest several policy recommendations to promote basic publicservice equalization supply between urban and rural.