The Influencing Factors Of Central Government 's Transfer To Local Finance: Result - Oriented Analysis

Since the reform and opening up, China’s economy has experiencing a long period of rapid growth, then a socialist market economic system has slowly formed, the financial system in the modern sense began to form on this basis. China’s financial system in the transfer payment system has gradually formed since the tax reform at 1994, especially in the last decade or so, the transfer payment system began to form a certain scale, China’s financial system has become an important part. The eighteenth of the Third Plenum of the Communist Party requires the establishment of modern financial system, in order to provide modest financial system for the modern building and reform, it is necessary for analysis the factors of transfer payments in recent years. It was found that the non-existence of the informal system affect fair system of fiscal transfers in the Western country in Western scholars research. In the study of Chinese financial transfer payment, the same found that the China’s transfer payments has complex factors, in addition to some formal institutional factors, there are also a number of informal institutional factors. Scholars study from the level of economic development in the formal system to ethnic and political factors, are carried out research on the factors affecting transfer payments. However, we can find that currently research either only on one perspective of national considerations, or also has considered a number of other factors, but relatively not very comprehensive, convincing relatively small. In addition, the scholars are mainly used as an explanatory variable of the total transfer payments for analysis, only few scholars moved from one point to pay the balance of a study, which is also a lack of comprehensive and detailed conclusions.This paper, on the basis of domestic and foreign scholars, first analyzes the practice of transfer payments in the Western developed countries in terms of fairness, thus expect to find in a real implementation of the fairness factor that should be considered. Then analyze China’s current system of transfer payments, focusing on the current estimates of transfer payment methods. Based on the above analysis, put forward the factors that may affect the transfer payments. An Empirical Analysis of Factors Affecting transfer payments, and specific sub-factor analysis, on the basis of transfer payments derived factors in the implementation of our reality, Then get out our current transfer payments moderate propose appropriate policy recommendations for the conclusion of this article. Specific chapters structured as follows:Chapter One: Introduction. The main part of this paper describes the background, research purpose, significance, research, innovation and the current paper theorists in this field.Chapter 2: The significance of transfer payments and foreign practice. This chapter introduces significances of the transfer payments, then analyze the current major Western countries imposed Transfer Payment System.Chapter Three: The present situation of the system of transfer payment in china. This section introduces the contents of tax reform, then on the basis of this study introduction two parts of transfer payments- general transfer payments and special transfer payments, and focuses on the two estimates system.Chapter 4: transfer payments fairness empirical tests. This part based on the previous set of factors that may affect our transfer payments, and consider the various factors of the data collection process. Finally Introduction the model that be used. Then introduce empirical analysis of specific step-outs, test methods used, on the basis of estimation methods used herein draw. Then divide factors, specific factors of transfer payments affect the sub-variable analysis.Chapter 5: Conclusions and Reflections recommendations. This part is based on the empirical results of the fifth chapter to discuss the various factors impact of transfer payments to, followed by policy recommendations for the Reconstruction of the transfer payment system.Possible innovation of this article is mainly reflected in the following aspects:First, the scope of the research, at first, consider the fairness of factors such as per capita GDP, per capita income in rural areas that reflect factors such as the proportion of other parts of the economy and the financial revenue and expenditure levels also reflect other equitable factors in different regions, and then introduction of non-equity factors, such as ethnicity, political resources. Relative to the current domestic scholars’ research, this paper attempts a comprehensive analysis of the factors affecting transfer payments, transfer payments in order to analyze the fairness of the practice in our situation.Second, in the research of the transfer payments in this paper, transfer payments into general transfer payments and special transfer payments, while the general transfer payments and special transfer payments and their sum both as the dependent variable in this paper, analysis different factors influence these three dependent variables, trying to analyze the factors affecting general transfer payments and special transfer payments which is not set in the same basis, if different, that is mean different factors present in the fair practice, or the same these two variables are varying degrees of influence.