Research On Higher Education Finance Expenditure

Since the implementation of China’s college enrollment from1999, highereducation has made remarkable achievements, and trained a large number of highlyqualified professionals, also has made great contribution to our economy, socialscience, and culture. But need to be ware of, there is still a certain gap between ourcountry’s development of higher education and the world average level. Although inthe year of2012, the public expenditure on education has reached4%of GDP, but thefiscal funding of higher education is only about20%of education expenditure, andthe contrast ratio can be seen in developed countries, our higher educationexpenditure scale is insufficient. Moreover, the financial expenditure of highereducation in eastern region is more than that of middle and western regions. So, it’svisible that the regional fiscal expenditure structure is imbalance. Furthermore, thecentral, local government powers and responsibilities are not clearly defined.Meanwhile, there still exits unfair and inefficient problems on higher educationfinance expenditure, and the national colleges have huge problem on debt.Aiming at this situation, I put some suggestion from two aspects of macro andmicro regulation reform. Firstly, from the macro way, higher education has a hugepositive externality, we can see that from the developed countries, then our countryshould attach importance to the development of higher education from the conceptand improve the education expenditure and the amount of higher education spending,let the colleges except for their daily teaching and working funding, have more fundsfor the research and innovation. In addition, our country should accelerate to amendthe higher education legislation, guide the reform of higher education, and improvetax policy for the donation on higher education funding. Secondly, from the microscopic point of view, the local government can use evaluation methods ofhigher education expenditure to improve the efficiency, and to incentive collegeresearch results’ conversion. Meanwhile, make the standard for application, approval,and other contents of college loans, reducing human and operational risks, to solvethe existing debt crisis. In addition, we should perfect the student financial assistancesystem, providing a variety of subsidies to allow more poor students studying incollege.The research is about the higher education fiscal spending, to explore the issuesof finance expenditure. Using large amounts of data to reflect deficiencies andcomparing with foreign higher education fiscal policies, combining the foreignexperience with China’s national conditions to get the actionable, effective andobjective advice. I hope these ideas and measures can have better applied, can helpimprove the fiscal policy system of higher education.