Research On Fiscal Policies To Support Public Entrepreneurship In China Under The New Normal

After the economic development of China has stepped into the new normal, the disadvantages of institutional accumulation and deep structural problems began to emerge. In the traditional comparative advantage gradually decline, the lack of stable foundation of economic operation and the insufficient endogenous economic growth, it is imperative to restart the endogenous driving force and new engine of economic growth and development entrepreneurship and innovation.Promoting public entrepreneurship is a important measure to the economic structural reform under the background of the new normal, also the public entrepreneurship can promote economic growth, leading the employment, promoting innovation in our country. As a kind of market activity, because of externality, uncertainty, information asymmetry, there is a likely that entrepreneurial activity can lead to market failure. Therefore public entrepreneurship needs the government, the only visible hand to make it correct.Not only the fiscal policy is an important means of macroeconomic regulation but also a regular means that governments around the world to promote entrepreneurial activity. The fiscal policy plays a main role in promoting the public entrepreneurship as the following aspects. First, the fiscal policies can correct market failure in entrepreneurial activity; Second the fiscal policy is an effective way of entrepreneurial activity for entrepreneurial development of funds; Third, the fiscal policy of entrepreneurship can optimize the allocation of entrepreneurial activity resources; Fourth, the fiscal policy can promote the sustainable development of entrepreneurship. Therefore, the fiscal policy is an important safeguard to guarantee the mass entrepreneurship realizing a healthy and stable development in our country as.the important governmental economic policy to support and guide the mass entrepreneurship.Since China reformed and opened up, investment and entrepreneurship have been very hot in China, which has experienced three entrepreneurial booms, and ushered the fourth entrepreneurial boom. Our government raised "public entrepreneurship, people innovation" in 2015, which was the important strategic layout made under the background of the economic new normal. At present, China’s entrepreneurial activity has rendered the vibrant scene:first, the degree of entrepreneurial activity has become increasingly active; Second, entrepreneurial activity basically completes its transformation; besides, opportunity entrepreneurship becomes dominant; Third, the process of entrepreneurial environment has a slow improvement, while opportunities of entrepreneurship are increasing; Fourth, the innovation of the entrepreneurial component needs to be improved; Fifth, entrepreneurial activity shows the characteristics of regional disparities.Fiscal policies play a important role mainly through the multiplier effect of fiscal expenditure and fiscal income tax effects. Although our government has done much to promote the "double entrepreneurship "by taking some measures such as decentralization, full implement of VAT instead of business tax, preferential tax policies, increase input, but the fiscal policy in supporting the business still has the following several weaknesses:first, China is lack of opportunity entrepreneurial policy; second, entrepreneurship support policy is not further refined; third, Venture investment fund in our country remains to be perfect; forth, there is lack of the security policy for entrepreneurs. Fifth, there is a lack of stability in Entrepreneurial finance policy. Developed countries have had an earlier study of entrepreneurship, and formed a relatively complete system of independent discipline. Thus, the fiscal policy of experience is worth-while us to use for reference. Using MOS analysis model to analyze the business fiscal policies of developed countries respectively from three aspects like the entrepreneurial motivation, entrepreneurial opportunities, and entrepreneurial skills can be summed up in the following aspects:first, the legal protection is implemented; Second, the policy targets strongly; Third, more policies are used cooperatively; Fourth, the consciousness of the government service is strong; Fifth, the system of entrepreneurship education is improved.In the present situation and the environment of our entrepreneurial activity and the shortages of the fiscal policies in promoting entrepreneurship, entrepreneurial finance and tax policies in China need to realize optimization from the following three aspects based on the reference of the experience of developed countries undertaking fiscal policies. The first aspect is in the fiscal policy for entrepreneurial enterprises:first, at all levels of government’s target transfers from the input end of the fiscal policy to demand side. Second, we will deeply reform the financial systems and mechanisms to get through various financing channels, to make main subjects of entrepreneurship really get the financial support; thus, it will really boost our country’s public entrepreneurship especially grassroots entrepreneurship. The second side refers to the fiscal policy for entrepreneurial subjects:first, the government should increase financial input to the entrepreneurship education; second, establish and the all-around social security system; third, further remove institutional differences. The third aspect is the implementation of the fiscal policy:first, combine different policies to make the biggest effect; second, the fiscal policy should be targeted; third, Perfect the venture capital fund; forth, improve the evaluation mechanism of the implementation of the policy; fifth, implement the stability and inclusive of the policy.