The Research On Improvement Of People’s Congress’s Budget Censorship And Supervision System

National budget and budget management is the core function of the government.It is the major tool of ensured provision of public goods as well as an important formtowards the realization of democratic government of the state. The People’s Congressand its Standing Committee are bestowed by the constitution and law with the powerand duty to censor and ratify the finance budget，final accounts and supervise itsexecution. Also the Financial and Economic Committee under People’s Congress isempowered by the constitution and law to make preliminary censorship of financebudget and final accounts and its execution. The common goal of budget reform andbudget censorship and supervision reform is the establishment of a democraticdecision making mechanism and power checking mechanism that can reflect thepreferences and interests of the public. This paper, taking Financial and EconomicCommittee as its research object, looks into the mechanism of its censorship andsupervision and on the basis of which puts forward some policy suggestions as to theconstruction of its budget censorship and supervision system.First, the paper makes an analysis of People’s Congress current censorship andsupervision of budget, its inherent problems and causes, arguing that the key factor ofthe ineffectiveness of People’s Congress censorship and supervision is the lack of astructurally rigid, standard and orderly budget censorship and supervision mechanismand system.Second, taking the concept of fiduciary duty in public finance as the startingpoint, this paper makes a multiple principal-agent analysis of budget formulation,execution and supervision, and of the necessity of beefing up budget censorship andsupervision by People’s Congress Financial and Economic Committee and thenecessity of constructing People’s congress budget censorship system.Third, in view of the fact that to fulfill its fiduciary duty, the agent should havecertain controlling system, material means and external environment, this papercomes up with a tentative idea of improvement the People’s Congress budgetcensorship and supervision system that befits the country, i.e., perfecting thetheoretical system, law system and the organizational system of People’s Congressbudget censorship and supervision, perfecting the mechanism of budget participationby the public as well as the standards for People’s Congress budget censorship and supervision.