Research On The Relationship Between Essential Public Service And Economic Development Of China

Recently, “Essential Public Service” is frequently mentioned in government conference and media reports. Offering essential public service to citizens and facilitating equalization of public service is chief function of government and it also forms the base and precondition for achieving stable and harmonious development in our country. Nowadays Central government is paying more and more attention on essential public service and there is plenty of public debate about ways to ensure basic needs of vulnerable group and to improve living conditions. Our country is experiencing critical period of socialist construction and coordinative development of society and economic plays an important role in building well-off society. It is internal requirement of constructing socialistic harmonious society and governmental urgent needs to build essential public service system and to improve equalization of public service and it is also has vital significance for implementing scientific concept of development, improving people’s life, promoting economic development and stable society development. At the same time, “Economic Development” still remains in people’s sight. Economic development means more than economic growth; it is the enlargement of economy scale and improvement of economy and social life. Economic development usually includes growth of economic gross(the enlargement of national economic scale), improvement and optimization of economic structure and upgrade and enhancement of economic quality.The relationship between essential public service and economic development has become an issue in economic world. It would be much important to study the relationship in more scientific way so as to achieve long-term and coordinative development. The paper analyzed the relationship between essential public service and economic development under the guidance of essential public service and economic development theory. The qualitative analysis of relationship between essential public service and economic development is performed overall firstly and then studied the relationship from 2004 to 2013 with the help of principal component analysis and measurement process. Affected by basic condition, security insurance and environment, the development of essential public service could bedivided into two phases: stable development from 2004 to 2008 and stagnation from2008 to 2013. There is co-integration relationship between essential public service and economic development and essential. Essential public service is the grainer reason of economic development but not vice versa which means the improvement of essential public service would promote economic development but economic development does not necessarily facilitate the development of essential public service.