The Empirical Study Of The Resource Tax Reform On The Development Of China’s Mineral Resources Industry

Under the background of global economic integration, mineral resources, as animportant material basis of the socio-economic development strategy, plays anincreasingly significant role for the sustainable development of a country’s economy.In China, mineral resources are public goods owned by the state and the unreasonablestructure of China’s mineral resources industry has been restricting the industrialdevelopment and the enhancement of international competitiveness. As an economicleverage to adjust and optimize the resource allocation, the actual running of theresource tax in our country hasn’t achieved the desired results, hence the resource taxreform is imperative, in the context of which detailed study of the dynamic change ofChina’s mineral industry development is of great practical significance.Firstly, this paper analyzes the situation of China’s resource tax and mineralresources industry and finds that the current resource tax levies too narrow, the rate istoo low and the levy method is unreasonable, which has deepened the problem of thelow overall development of China’s mineral resource industry, inefficient use ofresources and unbalanced development of regional economy. Secondly, it describesthe status and trend of China’s resource tax reform, analyzes the mechanism of theeffect of the resource tax reform on China’s mineral resources industry and finds thatalthough in the short term the increase of resource tax rate and change of the levymethod will affect the decision-making of the resource exploitation and the resourceprices, in the long run they are more conducive to make the resource enterprisesovercome behaviors of maximize short-term interests and achieve the optimalallocation and sustainable development of the mineral resources. Thirdly, on the basisof the mechanism analysis, the paper chooses the coal and metal ore industry asrepresentatives to empirically test the short-term and long-term effects. The formerestimates the influence and the price reaction degree of the other departments causedby a different range of resource tax rate changes through constructing input-outputmodel and price model. The latter constructs inter-provincially multi-factorialdynamic panel model from2001to2010according to the Cobb-Douglas ProductionFunction and uses the SYS-GMM method to examine the long-term impact ofresource tax adjustment on China’s mineral industry. The results show that in theshort term, the current resource tax has little shock to the resource products’ price; in the long run, the resource tax adjustment will promote the organizational change andproduction efficiency of the mineral resources industry, but to which extent, theimpact degree is too small; in terms of regions, the industrial development of thecentral and western regions has clearly increased dependence on resources, on whichthe resource tax adjustment will pose a bigger pressure. Finally, based on the aboveanalysis and conclusions, this paper proposes three recommendations to deepen thereform of resource tax and to promote the development of the mineral resourcesindustry: defining the principles and objectives of the resource tax reform to improvethe theoretical base of the resource tax levy; perfecting the elements of the resourcetax to optimize our resource tax system and function;optimizing the mineral resourcesindustry chain and structure to achieve the scientific development of China’s mineralresources industry.