The Study Of Equalization Of Basic Public Service Under The Perspective Of Public Finance

At the current, there are considerable gaps in China’s basic public service, whether between regions or urban and rural areas, or between each group and individual, among which the most notable is that between regions and between urban and rural areas. The status of these gaps does not meet the goal of China’s economic development, and restricted the development of China’s economy in reverse. Therefore, it needs to be addressed and must be changed. The State Council introduced the "national basic public service system’12th Five-Year’Plan" in July2012, clearly putting forward the requirements to narrow the gap between the level of basic public service.This paper studies basic public service from the perspective of public finance, mainly because finance is the premise and foundation of basic public service. Without finance, there will be no input or output of basic public service, not to mention consumption. Understandably, the physical and technical protections, such as financial investment, financial institutions and policies, are necessary, but the much more important thing is the public philosophy rooted in these protections. Just because of the concept of public, the question that public finance needs to study and solve is more than simple financial problems, but the problem of how to achieve public goals by the way of finance. This paper introduces the concept of "fiscal equal". Based on the elaboration and interpretation of this concept, we establish a theoretical contact between public and basic public service equalization, and analysis of the logical relationship between them. By the analysis of fiscal equal, service costs and service results, the paper combines these three points to describe the consumption equalization of basic public service of the public, and eventually builds the implementation framework of basic public service equalization.The thesis focuses on the status quo of China’s basic public service equalization. Since the differences in basic public service mainly exists between regions and between urban and rural areas, the paper focuses on the analysis and elaboration on these two levels. In the study of the status quo of basic public service equalization between regions, we use a number of specific indicators, and calculate the value of relevant indicators of various regions. By analyzing the difference of these values, we can draw some quantitative results of non-equalization of basic public service between regions. While analyzing of the differences between urban and rural areas, the paper shows specific differences in urban and rural areas from three aspects, which are compulsory education, public health and medical care and social security. After the comprehensive understanding of the status quo of basic public service equalization, the article begins to explore the reasons for the gap of basic public service in financial level. Lack of financial investment, tax revenues departure and the imperfections of the current tax and finance system, all have led to differences in the level of basic public service. Then the paper uses the principal-agent theory, taking the principal authority as starting point, to analyze the relationship and behavior of all levels of government in the process of the supply of basic public service, presenting the possibility and basis of exist of financial opportunism in reality. Finally, on the basis of previous analysis, not being confined to the simple technical aspects, such as the improvement of the financial system and fiscal policy, the thesis takes the concept of public into account and respects for all subjects in the overall economy and society. We deeply explore the direction of basic public service equalization at the level of guiding philosophy, financial system as well as the diversified subjects to comprehensively promote the process of the equalization of basic public services.