The Impact Of Fiscal Decentralization On The Supply Of Non-economic Public Goods

Since 2014,China's economic growth has continued to decline,even below 7%.Faced with downward pressure on the economy,the Central Government proposed a new economic normal,promoted economic restructuring and accelerated economic restructuring and upgrading.As a breakthrough point in the reform of the economic structure,the reform of the financial system leads the overall reform.The center of fiscal reform is decentralization.As Jia Kang said,the fiscal reform prior to 1994 was called "administrative decentralization," and the post-1994 fiscal reform was called "economic decentralization." Therefore,to solve the problem of decentralization is particularly important for the fiscal and taxation system reform.At the same time,with the transformation of government functions from "constructive finance" to "subsistence finance",it is of great practical significance for all levels of government to use appropriate financial means to optimize the allocation of public products that satisfy the preferences and utility of residents.On the other hand,considering the severe economic downturn in our country,consumption is an important lever for stimulating domestic demand.However,due to the unsound public service system in our country,especially the shortage of non-economic public goods such as education and medical services,the residents of our country are forced to wait for their savings and seriously restrict the consumption of Chinese residents.To sum up,improving the supply of public services plays an important role in improving people's livelihood and economic growth.At present,there are many studies on the problem of fiscal decentralization,but there are few studies on the fiscal decentralization system and non-economic public products,and the research scope is narrow.This article starts with the transmission mechanism of fiscal decentralization to the non-economic public goods supply and analyzes its influence through the construction of relevant theoretical and empirical models.The introduction part introduces the research background,significance,methods and ideas,as well as the difficulties and possible innovations in this paper.The second chapter reviews and summarizes relevant literature at home and abroad.The third chapter takes the theoretical basis of the fiscal decentralization system and noneconomic public products,the construction of the theoretical model between the two,and the mechanism of financial decentralization on the transmission of non-economic public goods into account,and theoretically discuss the relationship between the two.The fourth chapter makes a theoretical study on the relationship between the two with the foundation of realistic data.Chapter Five analyzes the relationship between the two by constructing panel vector regression model and panel threshold model.Chapter Six is based on the previous theory Analysis and empirical results to draw conclusions and put forward corresponding policy recommendations.