Values of public goods in government functions transform

From 1980 to 2005,the percentage of China’s public goods efficiency that remained equal to or lower than the previous year accounts for 58% among the total samples.The explanations are as follows:1) if the demand elasticity of fiscal expenditure is weaker than the elasticity of supply,the efficiency of public goods will decrease when the effect of fiscal expenditure is on need instead of on supply; 2) if the public service function of fiscal expenditure has relatively small effect on the increase of capital stock,the efficiency of public goods will descend when the direct production function turns into the public service function.