Research On Impact Of Transfer Payment On Local Financial Expenditure Behavior In Ethnic Autonomous Region

The function orientation of fiscal transfer payment lies in promoting balanced regional development and realizing the equalization of basic public services.Because of its special geographical position and relatively backward economic foundation,the autonomous region of ethnic minorities can not meet the public service needs of local residents simply by relying on its own financial resources.It must rely on transfer payments allocated by the higher government to make up for the gap in fiscal revenue and expenditure.Since the reform of tax distribution system,the central government has standardized the financial transfer payment system to the ethnic autonomous region,and the scale of financial transfer payment continues to expand.The structure and mode of use of financial transfer payment funds by the local governments of the ethnic autonomous region determine the effect of financial transfer payment.Therefore,it is necessary to analyze the economic effect of fiscal transfer payment in ethnic autonomous regions,especially the impact on local fiscal expenditure behavior in ethnic autonomous regions,which is of great significance for optimizing the fiscal transfer payment system in ethnic autonomous regions,standardizing local government behavior and further improving the efficiency of the use of financial transfer payment funds.This paper is divided into six parts.The first part is the introduction,which introduces the background and significance of this study,the research status at home and abroad,research ideas and framework.The second part describes the relevant theories of transfer payment affecting local government's fiscal expenditure behavior,including the theory of fiscal equalization,fiscal decentralization and the theory of sticky flies paper effect.The third part briefly introduces the design and operation of fiscal transfer payment system in ethnic autonomous regions.Firstly,it combs the reform and improvement of fiscal transfer payment system in ethnic autonomous regions since the tax-sharing system.Secondly,it analyses the scale and structure of fiscal transfer payment in ethnic autonomous regions.The fourth and fifth parts are empirical studies.Firstly,we use dynamic panel data model to analyze the impact of fiscal transfer payment on local fiscal expenditure structure in ethnic autonomous regions.We find that the current fiscal transfer payment system in ethnic regions has exacerbated the distortion of fiscal expenditure structure to a certain extent,and thegovernment of ethnic autonomous regions prefers to use transfer payment funds from higher governments for maintenance.The administrative expenditure and the economic service expenditure that the government operates at this level can effectively increase GDP in the short run,while the enthusiasm for social service expenditure is weak.After that,we continue to use the dynamic panel data model to analyze the impact of transfer payment on the total scale of local fiscal expenditure in the ethnic autonomous region,and verify the existence of "flies paper effect".That is,compared with local own fiscal revenue,transfer payment can better promote the government of the ethnic autonomous region to increase the scale of fiscal expenditure.Based on China's financial system,we use Fiscal Illusion Hypothesis and tax.The cost-collection hypothesis explains the reason for the existence of the "fly-paper effect".The sixth part is the conclusions and suggestions for the study.According to the summary research conclusions,the following policy recommendations are given:(1)defining the functional orientation of fiscal transfer payment;(2)improving the supervision mechanism of fiscal revenue and expenditure;(3)improving the management of transfer payment funds,rationally determining the scale of financial transfer payment in ethnic autonomous regions,and strengthening the supervision and management of financial transfer payment funds;(4)optimizing the financial expenditure structure of ethnic autonomous regions.