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Study on the Efficiency of Rural Public Goods Supplied By the Government

Author: WangFang
Tutor: DuanYuChuan
School: Southwestern University
Course: Rural Regional Development
Keywords: Rural Public goods Government supply Government provision efficiency
CLC: F320
Type: PhD thesis
Year: 2013
Downloads: 151
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Abstract


With the regional exchanges between citise, after enjoying better public goods and public services in more and more, farmers "vote with their feet" to leave the country to enjoy the city public goods trend is strong, on the other hand, in recent years the govemment has increased the financial input to rural public goods, many beneficial to the rural and agricultural development policies have been introduced, accompanied by the agricultural tax and rural administrative fees and funds abolished, continuing decentralization reform the phenomenon of central and local government fiscal decentralization has brought financial rights among different levels of governments.After various economic and social factors perplexingappears, the current situation of rural public goods supply is not improved,especially the supply efficiency on rural public goods supply to the government as the main mode of what kind of state? What are the factors affecting the government provision efficiency? To further improve the efficiency of the supply of rural public goods should adopt what kind of pattern and measures? These problems is very important and basic in now the urban and rural, stimulate domestic demand, handle the relations between government and market, under the ideological line.Chongqing is the youngest municipality directly under the central government, urban and rural development is typical and representative in china.And Chongqing who is located in the western region is an important city in the region. The development of rural public goods in Chongqing in the western region and even in the country n have the important meaning, so the study of Chongqing rural public goods supply efficiency can pry into thesupply of rural public goods, which also has the reference significance for other areas. The main contents of this paper are the following aspects:1This study discusses on Influence factors of government supply model, governmentbehavior and the efficiency of supplyThis study considers the evaluation of government’s supply of rural public goods efficiency is according to the output of the "results"when the government put in some cases to judge the efficiency of high and low. And the output conditions can be judged from the influence of development of macro and meso regional economy and society which the government of rural public goods for rural,including the prosperity of rural economy, the development of agricultural production and fanners welfare’s increase and so on; output should also be judged from the microconsumer evaluation of individual farmers,namely, How much do the government supply of rural public goods lead to meeting the needs of farmers; in equilibrium, the government supply of public goods in rural areas is related to the government’s public expenditure budget, officials seeking demand intention of self-interest and urban and rural residents’demand of public goods.2.This study analyzes the status quo of government supply of public goods in rural areas of Chongqing.It uses statistical data of Chongqing city and each county to analyze the supply of Chongqing supply of rural public goods in detail from the supply structure,of rural public goods, differences in supply in urban and rural areas, differences in supply of region, the government supplies behavior effect.lt gets the following conclusions:First of all, it can be judged that the Chongqing rural public goods supply of government scale is too small from the government’s expenditure.there are insufficient supplies in some rural public goods such as the farmland hydropower facilities, rural roads and traffic, information and energy supply, rural health,rural culture and education and rural social security. Second, the difference between Chongqing urban and rural areas of public goods is sharp, the supply of public goods in city is obviously better than that of the rural areas; Third, difference of public goods supply of area is obvious, the district which urbanization rate is relatively higher, and which is located in the urban area and which gets more the transfer payment from governments of higher levels has higher level of supply, on the contrary,the level of supply of public goods in district is lower. Fourth, the government of Chongqing public goods in the supply offarmland water conservancy facilities mainly take into the financial funds for construction directly, encouraging other suppliers of construction and supervising the entire construction behavior. Although the farmland water conservancy facilities in Chongqing have made certain progress, but the problems that the government finance investment is insufficiency, government subsidies to other supply main body participation are deficient and government management is not in place, the "thing" toorganize the villagers to supply the role is very limited,are prominent.3. This study Measures Chongqing government supply efficiency of rural public goods from the macroscopic angle nationwide.with the help of the statistics data of each area in our country and of evaluation methods of the efficiency in the use of common DEA Malmquist index analysis, this study evaluates Chongqing government’s efficiency in supply of rural public goods at the macro regional level,then it uses Tobit model to analyze the factors affecting government’s supply efficiency in rural public goods.By DEA Malmquist analysis of the supply efficiency of Chongqinggovernment, the study gets the technical efficiency of Chongqing govemment.it finds that Chongqing government’s supply technical efficiency in rural public goods during1998-2010is located in the middle in the country, but the development of technical efficiency value was on the decline. And during the same time the TFP of chongqing supply of rural public goods was also on the decline.There are two reason. One is that the size effect of Chongqing government’s supply which is shortage is low. The second is that the technical level of rural public goods government supply which is low drag its supply efficiency significantly. In this two reasons, technical level is the main factor leading to low efficiency level of technology.If we will improve the supply efficiency of rural public goods, we should pay more attention to technical progress.In the Tobit regression results, these factors including regional economic strength,regional market activity, the central government support, the size of government are positive effects in the government supply technical efficiency of rural public goods, and the purchasing power of fanners demand is negative effects for government provision of public goods efficiency. The family income,the level of economic development,the farmers smooth expression are the factors which effect farmer’s satisfaction. The increase in household income and household willingness expression of the poor will deepen the contradictions between farmers and local provision of public goods, and where the economic strength and the government financial ability of the area are stronger, the supply of public goods and can better meet the needs of farmers.4This study evaluates government supply efficiency of public goods on the microlevel from the micro perspective of individual households.From the micro perspective of individual households, with the aid of statistical data of Chongqing and of SPSS software, this study analyzes extended linear expenditure system model,then through the field investigation data,it analyzes farmers’ consumption demand tendency and satisfaction to evaluate the government’s supply efficiency in public goods.then it analyzs impact on Farmers’ satisfactionfactors by logistic regression analysis.From farmers’ public product consumption demand, Chongqing fanners’ Income elasticity of consumption of transportation and communication consumption is2.0007, and the income elasticity of consumption of health care consumption is1.5791.The marginal propensity to consume coefficient of two consumptions are0.0753and0.0637, This shows that fanners have strong consumer desire for transport and communications and consumer healthcare, but the farmers have the weak purchasing power by the income limits. Because of the lack of government supply of public goods, the farmers will pay more for public goods and be increased the burdenFrom the analysis of the questionnaire:The first, the government of Chongqing in recent years is investing heavily in the construction for rural roads, education,drinking water facilities and other projects for rural public goods with remarkable results.But some public goods, especially roads and education become fanners are most in need of improvement.It shows that government supply of public goods is still a certain distance with the farmers’ hope, and intensive efforts to supply are need; The second, the medical and health, information, the energy of life although are in construction and the supply situations have improved, but the farmer’s satisfaction is not high. Especially the medical and health is the one of the urgent public goods of the farmers need to improve;The third, agricultural water conservancy facilities, agricultural science and technology and promotion,living environment, cultural activities and the government public service are the lowest satisfaction of farmers, that there is still a big distance with the requirements of farmers.5. This study analyzes the real factors affecting the Chongqing government supply efficiency of rural public goodsThis study explores the influence factors of the Chongqing government’s supply of rural public goods, from the government’s own supply factors, othersupplies main body development, farmers’ participation as the consumers and so on.First of all, Rationality and preference supply of government will cause the efficiency’s leakage of supply, especially the government in dealing with urban and rural public goods supply has tendency of " pay attention to city, neglect of the rural areas" which cause results that the gap between urban and rural areas is growing and the supply of rural public goods is insufficient; and the " financial opening and decentralization of powers"of government in the rural public goods supply causes the unequal results in the local government of the fiscal power and administrative authority and aggravating financial difficulties of the grass-roots unit government supply.however, in recent years, the government of Chongqing enhance expenditure after getting a series of central policy support and preferential,therefore the Chongqing government’s fiscal expenditure in the rural public supplies is increasing.Secondly, Whether the development of market supply or the development of farmers, compared with the eastern region,Chongqing is relatively slow. Although the market economy tend to be active and the main body of the market is gradually strong, the development of market main body is relatively backward compared with the eastern area; also in the rural areas, farmers are restricted by their income, coupled with the impact of factors such as time and physical strength, their supply will in the rural public goods construction is not high. These factors will restrict the government of Chongqing to improve the supply efficiency of rural public goods.Thirdly, the weak ability to pay for public goods of Chongqing rural residents results in their dependence on government supply. But low income leads to the simple and low level demand, the government’s supply can easily achieve their "meet", so they transferred to the city and to "vote with their feet" lessly,which help for the government to improve the supply efficiency value objectively. On the other hand,the expression of rural public goods demand information and using information and feedback channel of farmers are not smooth,which also restricted the further enhance of the supply efficiency.6.Policy suggestionsPolicies and measures. Firstly, the government will increase its input in rural public goods.Enough fiscal expenditure-is to ensure the supply of government efficiency. Secondly, government at all levels should have rational division of labor and have a unification of powers and financial authority. Thirdly, A variety of suppliers should be actively developed and be supported, the service and support of government should be improved. Fourthly, the construction of grass-rootsdemocracy should be strengthened,and the grassroots organizations should become an effective channel of villagers expression of public demand and opinionSecurity mechanism, the demand discovery mechanism, decision-making mechanism, performance evaluation mechanism, supervision mechanism, information feedback mechanism should be improved

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