This paper explores the distortionary effects of the 1994 reform of the system of tax revenue sharing between the central and local Chinese governments and its interaction with the incentives for local officials to pr...This paper explores the distortionary effects of the 1994 reform of the system of tax revenue sharing between the central and local Chinese governments and its interaction with the incentives for local officials to promote local economic growth. One of the major distortions was to encourage local governments to rely on land finance in their efforts to promote urbanization and growth. This paper analyzes the causes and effects of increasing dependence on land finance and provides constructive suggestions for solutions to the problems that over reliance on land finance have generated, including their distortionary impacts on the urbanization process.展开更多
Parts of China are an advanced industrial society with excellent public transportation, universities, industry, and other modern features; while other parts (geographically and functionally) remain a developing nati...Parts of China are an advanced industrial society with excellent public transportation, universities, industry, and other modern features; while other parts (geographically and functionally) remain a developing nation. For China, to build a stronger and more equitable society requires much work to develop governance at the local level. In pursuit of this goal, China actively seeks to learn lessons from abroad, including from American local government. This article examines the similarities and differences between these two nations and their systems of government toward the end of identifying potential challenges to Chinese efforts to learn from American-style local governance. This is grounded in policy transfer theory, which guides the discussion of how to learn from other jurisdictions--from other jurisdictions within the nation, from other points in time within the nation, and from other nations. Perhaps the ultimate questions are, "Should China continue efforts to learn from external models or focus its energy internally?" and "Does China need a more clearly defined governance model rather than its current approach that simultaneously allows and questions a high degree of decentralization (both within the party and the government)?" This paper seeks to add to that intellectual discourse by applying recent data and a conceptual framework.展开更多
基金This research is supported by the Fundamental Research Funds for the Central Universities,and the Research Funds of Renmin University of China[Grant No.13XNI003].
文摘This paper explores the distortionary effects of the 1994 reform of the system of tax revenue sharing between the central and local Chinese governments and its interaction with the incentives for local officials to promote local economic growth. One of the major distortions was to encourage local governments to rely on land finance in their efforts to promote urbanization and growth. This paper analyzes the causes and effects of increasing dependence on land finance and provides constructive suggestions for solutions to the problems that over reliance on land finance have generated, including their distortionary impacts on the urbanization process.
文摘Parts of China are an advanced industrial society with excellent public transportation, universities, industry, and other modern features; while other parts (geographically and functionally) remain a developing nation. For China, to build a stronger and more equitable society requires much work to develop governance at the local level. In pursuit of this goal, China actively seeks to learn lessons from abroad, including from American local government. This article examines the similarities and differences between these two nations and their systems of government toward the end of identifying potential challenges to Chinese efforts to learn from American-style local governance. This is grounded in policy transfer theory, which guides the discussion of how to learn from other jurisdictions--from other jurisdictions within the nation, from other points in time within the nation, and from other nations. Perhaps the ultimate questions are, "Should China continue efforts to learn from external models or focus its energy internally?" and "Does China need a more clearly defined governance model rather than its current approach that simultaneously allows and questions a high degree of decentralization (both within the party and the government)?" This paper seeks to add to that intellectual discourse by applying recent data and a conceptual framework.