The Fiscal Expenditure Efficiency Of Environmental Protection In Gansu Province

Man?subsistence is based on Ecological environment, human production and life are changing the environment, good production and living environment, to improve product quality and production efficiency, but also to human healthy. Into the 1980 s, along with the size, depth and breadth of the increasing human economic activity, environmental problems with global implications have become increasingly prominent. It has also become the focus of attention that environment?economic and social development harmoniously. Environmental protection is a public goods with significant external effects, but being limited by geographical scope, what level of government provide the public goods is decided by its room and scope of the benefits. Article 16 of Environmental Protection Law of our country also stipulates explicitly: " the local governments at all levels, should be responsible for the quality of environment in this area, and take measures to improve the quality of environment." Specifically it should classify and definite according to the local Geographical features, at the same time it should divide the responsibility furtherly and reasonably below provincial local governments at all levels.Starting with the public goods properties of environment, this paper illustrates the three theoretical bases for the government intervention in environmental issues, namely, the theory of public finances, the theory of public goods and the theory of fiscal spending efficiency. Secondly, through the analysis of the financial situation between the several years about environmental protection expenditure in Gansu Province, it can reveal some problems about environmental protection expenditure. Concretely to analysis the fiscal expenditure efficiency in environmental protection, this article selected the environmental protection expenditure data and environmental indicators data in Gansu Province from 2009 to 2013. we estimates the 14 local governments? static efficiency and dynamic efficiency of fiscal spending about environmental protection through Data Envelopment Analysis(DEA) it can concluded that static efficiency(technical efficiency)of environmental expenditure in Gansu Province is not high as a whole, The technical efficiency will be further disintegrated into pure technical efficiency and scale efficiency, we find the pure technical efficiency is one in nearly half of the region, the value of the other region is very low. These indicate that the capital allocation structure of environmental protection expenditure is irrational, the government management is poor. Scale efficiency value is not high, having unreasonable loss of efficiency, indicate that governments at all levels need to improve the configuration scale of environmental protection expenditure. Based on analysis of Malmquist Index, we find the dynamic efficiency of environmental protection expenditure has decreased from 2009 to 2013 in Gansu Province, The main reason is that the index of Technological changes is dropping. Therefore,according to empirical results, we suggests the government find the cause of the reasons for differences of the financial expenditure efficiency about environmental protection among different regions, improveing trategies to local conditions, eventually to increase the efficiency of environmental protection expenditure of local government.