The Impacts Of The Financial System Reform About "Province Governing County" On The Level Of Public Service

Since the 1980s, along with the increasingly mature of the market economy and the accelerated industrialization and urbanization in China, the positive effect from the system of "city governing county" on the integration of urban and rural areas has gradually weakened at the same as driving the development of surrounding areas. Instead, the system hindered the development of countries’economy and society due to the competition for profit between the cities and countries, with the addition of the implementation of tax reform in 1994 does not explicitly the framework of the right of property and the right of office between local governments and under-provincial level, so that the countries’financial pressure has been further intensified, consequently affecting the grassroots of public services supply level. In this context, a growing number of scholars have been considering the finance system reform of "province governing county" as an effective way to solve the defects of the "city governing county" system and to relieve the countries’financial predicament. Currently, over 1,000 countries from more than 20 provinces have implemented this reform. Research on the finance system reform of "province governing county" has important theoretical and practical significance for the further analysis of the economic and social development of the countries at the same as the countries’public services.In view of the fact that in academic discussions and the practice of all levels’governments, they pay more attention on the influence of the reform in terms of countries’economy than the countries’public services. Therefore, this study will fully draw lessons from relevant theory and literature achievements, to analyze the constraints for county governments on providing public services at the first, and then make a thorough inquiry on the opportunities and challenges from the finance system reform of "province governing county" that brings to the countries’public services, and chose the pilot countries (cities) of the finance system reform of "province governing county" from Sichuan Province as the objects of study, through quantitative research empirical method to verification the influence of reform on the level of public services from counties. The results show that this reform really played a certain role to improve the countries’economic reform, but indeed exacerbate the distortion of the internal structure of the countries’public services, presenting the raising trend of infrastructure and health service delivery, at the same time, reduce the level of compulsory education of residents. Based on this, my study suggests that, in order to significantly improve the countries’public services and to achieve equalization of public services, it is necessary to rationalize t the right of property and the right of office of the local governments, and make further improve on the financial system, and implement the "province governing county" administrative reform more steady. The results of this research have a certain reference to the work of the reform and improve the public services at the same time.