A Research On Degenerate Effect Of China’s Financial Expenditure To Urban Infrastructure

China’s financial expenditure plays a key role in stimulating economic development, whileurban infrastructure is one of the very important systems in economic development. Urbaninfrastructure has different levels and functions, as well as special economic attributes. Therefore,as China is developing rapidly now, studying the effect of financial expenditure on urbaninfrastructure is of great importance.It has been more than30years since China adopted the policy of reform and opening up tothe outside world. With the rapid development of the socialist market economy, urban economyhas been developing fast, so has the urban infrastructure. In order to catch up with the pace ofeconomic development, financial expenditure has always been playing a leading role and givinggreat support in capital input on the construction and development of urban infrastructure.However, based on the requirements of urban economic development, urban infrastructure existsgreat demands which can be developed further. As a result, financial expenditure which is used inthe investment of urban infrastructure is relatively short in the capital chain. At the same time, themultiple investment systems in urban infrastructure investment have not yet been developed, whichhas seriously limited the development of the urban infrastructure and hampered the sustainabledevelopment of urban economies. So based on theoretical and Positive analysis on financialexpenditure and urban infrastructure, this paper will study the relations between financialexpenditure and the development of the urban infrastructure and makes some conclusions.The main body of this paper will be divided into four parts: The first part classifies andsummarizes related theory basis, and reviews the current research situation at home and abroad.The second part does some positive analysis for the financial expenditure on the urbaninfrastructure and reaches the conclusion that financial expenditure has a degenerate effect on theurban infrastructure. The third part analyses the factors which lead to the negative effect offinancial expenditure on urban infrastructure. The final part relies on the practical and theoreticalstudy and directs at the negative effect of financial expenditure on urban infrastructure, this paperputs forward five aspects to perfect our urban infrastructure.