Empirical Study Of The Transfer Payment System To Promote The Equalization Of The Basic Public Services

Thirty years of reform and opening up, China’s economy has maintained rapid growth, representing the total economy GDP reached 63.64 trillion yuan in 2014, compared to 364.5 billion in 1978, an increase of more than 170 times. With the economic development and social progress, social equity and justice gradually become a matter of concern to people on the equalization of basic public services has become increasingly obvious interest demands. But the urban-rural gap and regional disparities in the field of basic public services still exist, due to the constraints of nature, history, policy and economic strength and other factors, China’s basic public services is not balanced between the eastern and western regions, urban and rural the level of public service provision there is a great disparity between regions. Transfer payment system is an important means to solve the imbalance of transverse vertical imbalances between the central and local governments and between the various regional fiscal, for the realization of basic public services throughout equalization plays an important role. Government needs to play an active role in making our country’s assume achieve equalization of basic public services, historical responsibility.The Financial resources of government is the basis for equalization of public services, and since 1994 the implementation of the tax system of financial management system, the central government’s growing financial resources, and local government financial resources compared inadequate to meet the needs of local government powers, and different regions financial gap is relatively large. Therefore, the central government to local governments to increase vertical transfer payments between local government finances become, balanced regional differences, reflecting the important means of the central intent. Intergovernmental transfer payment system of vertical production, fundamentally speaking, fiscal decentralization resulting from inter-governmental financial imbalances, financial imbalances leading to basic public services between regions equalization target can not be achieved, it is necessary to establish efficient and rational system of transfer payments to promote the equalization of basic public services. Transfer payment system as the most important tax reform package of measures its effectiveness attracted the attention of many scholars. Theoretically transfers between different regions is to achieve equalization of basic public services the most important ways. However, the specific implementation point of view, there are still many problems. Therefore, the purpose of writing this article is to solve the problems of our transfer system, improve the transfer payment system, provide an institutional guarantee for the equalization of basic public services to achieve goals.The main object of this study is to transfer payment system and the equalization of basic public services. In this paper, based on transfer payments, the theoretical foundation of basic public services, according to the status of China’s 2007-2013 development, the use of systems research methods, comparative research methods, empirical and normative analysis system combining methods, qualitative and quantitative analysis methods research. This article will be divided into the government’s general government spending spending and transfer payments in two parts, focuses on the impact of transfer payments equalization of basic public services. By the least squares method of statistical software EVIEWS empirical analysis and the results prove that the government transfer payments to the equalization of basic public services has a positive role in promoting, on the basis of the transfer payment system on how to better promote the equalization of basic public services technology were discussed. Finally, the paper concludes that:to gradually narrow the differences in the level of basic public services between regions, on the one hand, we must strive to develop the economy, increase revenue, improve the level of financial and material resources available for transfer, on the other hand, should continue to improve area intergovernmental transfer payment system.