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2013•Unpublished venueRequires access

Influence of Fiscal Decentralization on Local Economy

Li Yichong

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Abstract

Starting from current research,the paper defines the basic concept of fiscal decentralization,introduces its indexes to measure its degree and summarizes different views put forward by scholars about influence of fiscal decentralization on local economy.This paper comes to the conclusion that fiscal decentralization affects per capita GDP,FDI and industrial structure directly.Policies should be based on China's condition,keep favorable taxes at reasonable level and promote healthy competition among local governments.

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What this paper is about

Starting from current research,the paper defines the basic concept of fiscal decentralization,introduces its indexes to measure its degree and summarizes different views put forward by scholars about influence of fiscal decentralization on local economy.This paper comes to the conclusion that fiscal decentralization affects per capita GDP,FDI and industrial structure directly.Policies should be based on China's condition,keep favorable taxes at reasonable level and promote healthy competition among local governments.

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Available abstract

Starting from current research,the paper defines the basic concept of fiscal decentralization,introduces its indexes to measure its degree and summarizes different views put forward by scholars about influence of fiscal decentralization on local economy.This paper comes to the conclusion that fiscal decentralization affects per capita GDP,FDI and industrial structure directly.Policies should be based on China's condition,keep favorable taxes at reasonable level and promote healthy competition among local governments.

Key concepts: Decentralization, Per capita, China, Competition (biology), Economics, Economic system, Market economy, Political science

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