The historical status quo of China s financial subsidies

Since the implementation of reform and opening up in China, in order to adapt to the development of the market economy, the scope of fiscal expenditure and the mode of capital have been adjusted accordingly, which has played a greater role in promoting the construction of the national economy. However, in reality, there are still some serious shortcomings in China's fiscal expenditure that cannot be ignored

The fiscal expenditure policy is an important part of the entire fiscal policy and is also an important means of the state's macroeconomic regulation and control. Since the reform and opening up, along with the process of economic marketization, China's financial expenditure scope and the way of funds have been adjusted accordingly, especially in the case of financial difficulties, the state finance has tried its best to raise funds to support agriculture, science and technology, education and other key national construction undertakings, and has made important contributions to promoting the reform of the entire economic system and promoting the coordinated development of the social economy. Compared with the fiscal expenditure policy before the reform and opening up, China has gradually shaken off the situation of unified revenue and expenditure in the era of planned economy, and everything is taken care of by the state, and the policy of delegating power and giving profits has been implemented, and the enthusiasm of microeconomic entities has been mobilized to develop the socialist market economy, and remarkable results have been achieved

In terms of scale....

At present, the current situation of subsidies in China is not very perfect, and it is mainly solved in people's lives, but it has not fundamentally solved the current state of our life, and now we are still in the initial stage of socialism, and on the whole it is not perfect enough

If I know, I won't tell you.

Economic benefits of financial subsidies:

1. Financial subsidies are conducive to the effective implementation of national economic policies.

2. Financial subsidies can drive social funds to a certain extent and expand the economic benefits of financial funds.

3. Financial subsidies can change the demand structure and supply structure, and contribute to social and economic stability.

Social benefits of financial subsidies:

1. Produce a demonstration effect and encourage social innovation.

2. Support the development of subsidized industries or industries.

Fiscal subsidy is a kind of gratuitous expenditure that affects the relative structure and can change the structure of resource allocation, supply and demand. The significance of fiscal subsidies is fivefold: (1) Effective implementation of the country's economic policies. (2) to.

Under the conditions of market economy, the reason why the financial subsidy expenditure method is adopted is mainly based on the following reasons:

First, there is the existence of market failures. In the field of natural monopoly, such as urban public transportation, gas, water and electricity, etc., the market cannot effectively allocate social resources, so it is necessary to regulate such enterprises. ** They are often subject to low-cost policies in order to provide social benefits to society as a whole, especially to the lower and middle classes.

Because the low price policy will lead to losses for enterprises, financial subsidies should be provided by **, otherwise such enterprises will not be able to survive.

Second, the requirements of social policy. The market is an effective mechanism for resource allocation, but the market mechanism cannot solve all problems, and some areas can not completely introduce the market economy mechanism, such as China's agricultural product subsidies are an example. In China, the cost of agricultural production is high, and it is difficult to raise agricultural products under the condition that people's income levels are generally low, so in order to maintain the non-market of agricultural products and safeguard the interests of farmers and urban residents, it is necessary to adopt the form of financial subsidies to support.

Third, the need for economic transformation. The above-mentioned enterprise loss subsidies have maintained the existence of a large number of enterprises and the employment of employees, and avoided the social unrest caused by large-scale bankruptcy and unemployment; In the process of transforming the system from a plan to a market, the subsidy avoids the pressure on residents' lives caused by a large price increase, which is conducive to social and economic stability. All these cushioned the impact generated in the process of changing the old and new systems, and were conducive to the smooth progress of reform.

Personally, I believe that the current financial subsidy system in China is mainly a transfer payment.

In the transfer payment of DAO, the proportion of special transfer payment before the return is larger.

The advantage of special transfer payment is that the funds are earmarked and easy to manage. However, there are also certain problems, one is that the special transfer system often reflects the relatively scattered capital investment in the allocation of funds, and it is difficult to concentrate funds to develop a certain area. Second, special transfer payments often make it difficult for subsidy policies to fit in line with local realities, and lack the role of adapting measures to local conditions.

Therefore, it is recommended to gradually increase general transfers, and then strengthen the management and performance of general transfers.

(1) Establish a reserve and risk system for important commodities.

2) Improve the degree of marketization of China's economy, and reduce the burden of financial subsidies by straightening out the market.

3) Establish a "rice bag" and "vegetable blue" provincial mayor responsibility system, and reasonably divide the subsidy powers at all levels.

4) Digest the historical accounts of enterprises, arrange special digestion funds for policy-based accounts, and gradually reduce the burden on enterprises.

5) Support state-owned enterprises to transform their operating mechanisms, support enterprise technological innovation with interest discounts, and enhance their development capabilities.

Under China's traditional budget system, according to the income and expenditure of public institutions, the state adopts three different budget fund management methods for public institutions: the full budget system is implemented for public institutions that have no business income and whose income is not frequent or fixed; Implement a differential budget system for public institutions with regular and fixed business income; The self-revenue and self-support system shall be implemented for public institutions with fixed incomes that provide certain products or services. According to the new "Financial Rules for Public Institutions", the state has abolished the division of the three types of budget funds, and implemented a unified budget management method for the appropriation of business subsidies for public institutions, such as approved revenue and expenditure, fixed amount or fixed item subsidy, no compensation for overspending, and retained surpluses.

The standard of fixed amount or fixed subsidy may be determined according to the characteristics of the enterprise, the business development plan, the income and expenditure of the public institution, and the national financial policy and financial resources. Fixed or targeted grants can be zero.