Study On The Impact Of Fiscal Decentralization On The Income GAP Between Urban And Rural

In the process of China's economic transformation,along with a series of complicated system reforms,the reform of fiscal decentralization system is one of the few most important areas of change throughout the country,while the urban-rural income gap has shown a continually expanding trend.Therefore,how to guide fiscal decentralization to better narrow the urban-rural income gap is crucial.Based on the provincial panel data from 1994 to 2016,this paper empirically examines the impact of fiscal decentralization on the urban-rural income gap.Firstly,the entropy method is used to measure the provincial fiscal decentralization index,and reasonable variables are selected to measure the urban-rural income gap.On this basis,with the use of graph theory tools and ArcGIS platform,the descriptive statistics of fiscal decentralization and urban-rural income gap are presented,and the evolution trajectory and spatial non-equilibrium characteristics of the two are presented.Secondly,from the three channels of information difference,infrastructure and basic public services,the paper analyzes the specific path of fiscal decentralization affecting the urban-rural income gap.It also proves the change of urban-rural income gap before and after fiscal decentralization in mathematical form,and constructs a comprehensive theoretical framework for the factors affecting urban-rural income gap.Thirdly,using spatial econometric modeling technology,construct a spatial dynamic panel model and use the MLE estimation method to perform regression analysis from the national and regional levels,and use the spatial regression model partial differential method for spatial effect decomposition.To accurately determine the impact of fiscal decentralization on the urban-rural income gap.The study found:(1)The total local revenue and expenditure,local fiscal revenue and expenditure ratio,and urban-rural income gap are all on the rise.The income gap and the transfer income gap are the main reasons for the urban-rural income gap.The fiscal decentralization and urban-rural income gap are both There are obvious spatial non-equilibrium features.(2)The results of the spatial correlation test show that the spatial interaction between regions has a vital role in the urban-rural income gap,and there is a clear spatial agglomeration in the urban-rural income gap.(3)The regression results of the overall spatial model show that fiscal decentralization has a negative impact on the urban-rural income gap.In addition,globalization and non-nationalization have a significant negative impact on the urban-rural income gap.Urbanization and financial development have significantly widened the urban-rural income gap.The impact of industrial structure on the urban-rural income gap is not significant.(4)The regression results of the sub-regional space model show that the regression coefficient of fiscal decentralization in the eastern and central regions is negative,but the regression coefficient of fiscal decentralization in the western region is positive.(5)After the introduction of government governance variables,fiscal decentralization still has a negative impact on the urban-rural income gap,and under the combined effect of government governance and fiscal decentralization,it plays a role in narrowing the urban-rural income gap.Based on the realistic background of the widening income gap between urban and rural areas,we must continue to promote fiscal system reform,scientifically guide fiscal decentralization to play its positive role,and provide new theoretical ideas for alleviating the urban-rural income gap.