Research On The Provincial Difference Of Social Insurance Fund Income And Expenditure In China And Its Influencing Factors

In recent years,the construction of China's social security system has made great progress.By 2020,the multi-level social security system in China will be basically completed.However,while we have made achievements,some problems of social security system have become increasingly prominent.Among them,the balance of payments between provincial social security funds has been widely discussed in the society.When the level of social security of a country or region is not balanced,it will inevitably affect the welfare function of social security,and will violate the principle of fairness.In this context,it is necessary to study the provincial difference of income and expenditure of social insurance fund.First of all,based on the current social insurance fund raising mode and actual situation in China,we draw lessons from macro-economic AD-AS model,and theoretically discuss the balance condition of social insurance fund.Since then,it focuses on the reasons for the difference in the provincial income and expenditure of social insurance funds.The research shows that the formation of the difference in the income and expenditure of the inter-provincial social insurance fund is the result of the comprehensive factors such as the wage level,the system support ratio,the government policy and the level of economic development.Then,from the 2005-2014 year provincial panel data,this paper analyzes the current situation of the difference between the income and expenditure of the provincial social insurance fund in our province.In total,the social security fund is increasing year by year.Pension,medical and unemployment insurance funds are the main part of the general social insurance fund.On average,the income and expenditure of per capita social insurance fund is increasing.Meanwhile,the difference between the regional social security fund's income and expenditure is highlighted.Then,the Gini coefficient and the weighted coefficient of variation are used to analyze the income of social security fund per capita in China from 2005 to 2014.It is found that the basic trend of the Gini coefficient of three indicators and the weighted coefficient of variation is consistent,namely "down after up down and up again".On the whole,the two provincial difference indexes show that the provincial differences in income,expenditure and income gap between China's per capita social insurance fund have widened.Using Kernel density estimation,the average social security fund income,expenditure and difference of income and expenditure per capita in China,East,Middle and West are analyzed.It is found that the gap between the income,expenditure and difference of income and expenditure of the per capita social insurance fund in China and the three major regions is enlarged,but the polarization phenomenon is weakened.In this paper,the author discusses how the provincial differences of income and expenditure of social insurance funds in China are formed.On the analysis of influencing factors,this paper uses the generalized least square method(FGLS)to carry out the empirical test.The results show that the factors such as the average wage and the system support ratio affect the difference of the income and expenditure of the social security fund in the country,the East,the middle and the West.Among them,average wage of staff and workers is the most significant.In this paper,by means of Blinder-Oaxaca decomposition,we find that the difference between east and middle is mainly caused by the factor effect,and the difference between east and west is mainly caused by the coefficient effect.The regional difference of social security fund income and expenditure between central and western regions is mainly caused by coefficient effect.Finally,combining with the theory and the empirical results,this paper put forward policy recommendations to reduce the provincial differences in the social security fund payments.We should further expand coverage for social security,improve the social insurance as a whole level,and reform the existing system of social insurance premiums and treatment mechanism.Promoting the coordinated development of inter-provincial economy has a positive effect on reducing the difference of income and expenditure between provincial social insurance funds.