Research On Government Purchasing Services Model For Rural Social Pension In China

In the context of economic globalization, population aging is becoming the world’s problem, what pose serious challenges for all countries. At present, China has the largest number of elderly population. So there is heavy pressure to China’s traditional family support model. Since the 1980s, in order to protect the rural elderly residents, China had been explored and constructed the rural social pension. However, because the design and management issues, it can’t provide effective old-age security for the rural population. China began implementing new-type rural social pension in the pilot areas in 2009. The implementation of this policy, marking the establishment of rural social pension, to address rural issues, to maintain stability and develop the rural economy, has an important practical significance. However, with in-depth promotion of rural social pension, the various problems of the system gradually highlights, restricting the sustainable development of itself and affecting the ultimate realization of building of the social security system covering both urban and rural areas. In the context, taking Deyang mode in Sichuan for example, this paper analyzed the theory, current status, advantages and problems of rural social pension and government purchasing services model. It also proposed to improve the government purchasing services model for rural social pension in China. Hope to promote the sustainable development of China’s rural social pension, and provide reference and experience to build our country’s social security system covering both urban and rural areas and implement social innovation management.This paper consists of five parts. The main content and view of each part is as following:Part one: Introduction. Explained the meaning and purpose of this study, and then make a brief overview of literature related to the building of the rural social pension and government purchasing services at home and abroad. Point out the research ideas, research structure, research methods, as well as innovation and inadequacies.Part two:Theories of the government purchasing services model for rural social pension. First of all, from the perspective of the welfare state theory to explain why the state should build the system of pension insurance and social security. Secondly, from the two aspects of institutional economics and the theory of Marxism, by explaining the failure of the farmer rural social pension and to promote the construction of the new-type rural social pension provides a theoretical basis and foundation. Again, using of demand theory, which the rural elderly residents unable to meet the most basic physiological needs, to explain the urgency and necessity to build rural social pension in China. Finally, we based on the perspective of the new public management theory, combined with the advantages of the concept of service-oriented government and commercial insurance companies, breaking the bottleneck of the rural social pension management.Part three:Development Status and Problems of China’s new-type rural social pension. In response to the great challenges of an aging population, to build the social security system covering both urban and rural areas, China’s new-type rural social pension from 2009 to implement the pilot and achieved good results. But with the gradual implementation of the development of economic and social, and with in-depth promotion of rural social pension, the various problems of the system gradually highlights. Imperfect management system, a sound infrastructure, management capacity, lack of lower levels of co-ordination as well as higher administrative costs and other factors have restricted the further development of the rural social pension.Part four: The innovation and experience of Deyang mode of the government purchasing model for rural social pension.2010, Jingyang as the first batch of pilot areas, through public bidding, select the Deyang Branch of China Life for service providers. Deyang Branch is responsible for the rural social pension handling services, but in order to protect the security of pension funds, they are not involved in the operation and management of the Fund. The Jingyang government is responsible for regulation and supervision. But with the gradual implementation of the model, also appeared in a number of problems: the lack of management performance evaluation system, the government and enterprises of responsibility is unclear; some commercial insurance companies’profitability is poor. There is damage to the insured and the risk of the government interest. However, the Deyang mode of the government purchasing model for rural social pension pilot work in the use of government purchasing services for China to achieve the transformation of government functions, to solve the problem of the lack of financial and human, the integration of social insurance and commercial insurance provides the inspiration, innovation and social security management system.Part five: Policy recommendations to improve the government purchasing services model for rural social pension in China. According to the issues raised in the previous section, this chapter proposes improving and perfecting the model of policy recommendations. First, we must establish and improve management performance evaluation system, the implementation of the regulatory functions of the commercial insurance companies, regulate the management process. Second, we must clear government-enterprise responsibility, transformation of government functions, improve the operation mechanism of supervision and management of service-oriented market and residents, and efforts to establish a service-oriented government. Third, we should be given financial and tax support to compensate for the loss of commercial insurance companies in rural social pension project, which can encourage a more professional commercial insurance companies to participate in public service management project. Fourth, we must regulate the internal management mechanism in the government purchasing services model for rural social pension, improve the scientific management system, optimize the handling of service channels, prevent risks, and improve the efficiency of management services. Fifth, we want to improve related facilities, to support the government purchasing services model for rural social pension, to improve environment, and to promote long-term development of rural social pension.The unique features and innovations of this paper include:1) The first systematic analysis of the Deyang mode of the government purchasing model for rural social pension. Emphasizing the implementation of the mode to improve the new rural grass-roots management platform, to reduce financial pressure, to achieve the optimal allocation of resources, to increase reserve talents, to provide opportunities to participate in public service management projects for the commercial insurance companies and other advantages. To make up for the lack of researching the government purchasing services model for rural social pension in academia. Exploration of the paper provides a useful experience to build the exploration of the social security system covering both urban and rural areas.2) From the perspective of system and management platform, the innovative research of the rural social pension, rather than remain a surface in the general operating mechanism. Innovation to explore rural social pension, to provide the basis for path selection about the government purchasing services model for rural social pension, and to select experience and learn from the rural grass-roots social management.3) The paper presents policy recommendations to further improve the government purchasing services model for rural social pension in China. Such as, establish and improve management performance evaluation system, regulate the internal management mechanism, formulate scientific management system, prevention and control of risk, and so on. There is theory and policy value on the policy recommendations.