Fiscal Decentralization and Revenue/Expenditure Disparities in China

Wang, Enru

doi:10.2747/1539-7216.51.6.744

Cited by 30 publications

(14 citation statements)

References 69 publications

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“…Norris (1999) also argued that long-term economic development has produced critical citizens who have higher expectations for government performance, are less deferential to government authority and are increasingly ready to challenge the government. Furthermore, Wang (2010) predicted that Chinese economic development will have the immediate effect of enhancing public support for the government, but that, in the long run, it will also lead to value changes that produce critical citizens. Therefore, we claim that critical citizens who have less trust in central government are found in urban China.…”

Section: Discussionmentioning

confidence: 99%

Determinants of public trust in government: empirical evidence from urban China

Zhao

2015

International Review of Administrative Sciences

111

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Several studies suggest that public trust in government in China remains high and without any trend of decline despite the fact that public trust in government has declined dramatically in developed countries. This article analyses public trust in government in contemporary urban China with a comprehensive representative survey and tests the factors associated with public trust in government. Trust in government in China is found to be much lower than previous studies have indicated. Furthermore, the variables of citizen satisfaction with the quality of public services, general democracy, participation in government and the transparency of government are positively associated with public trust in government in China at both the city and central level. In addition, this research also finds that citizens who are younger, more highly educated and well-paid have a lower probability of trust in government in China. These findings suggest that maintaining political trust will be a challenge for the Chinese government. Points for practitioners The findings in this study suggest that public managers and policymakers in China should pay full attention to the challenge posed by maintaining public trust in government, and need to consider formulating specific and feasible measures to enhance public trust based on the determinants of public trust in government. Moreover, in terms of the fact that the determinants that make public trust in government decline in developed countries also affect public trust in government in China, such public managers and policymakers need to strengthen communication with developed countries to improve the handling of the common challenge of maintaining public trust in government.

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Section: Discussionmentioning

confidence: 99%

Determinants of public trust in government: empirical evidence from urban China

Zhao

2015

International Review of Administrative Sciences

111

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“…There are new studies (Ho and Niu 2013;Tang, Wong, and Liu 2011;Wang 2010;Uchimura and Jutting 2009;Cai 2007;Li 2006;Wang 2006) covering extensive areas including local expenditures, revenues, budgeting and transfer payments. However, there has been little research directly discussing local responses to mandates and their impact.…”

Section: Literature Reviewmentioning

confidence: 98%

The Centre Decides and the Local Pays: Mandates and Politics in Local Government Financial Management in China

Fan

2014

Local Government Studies

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In China, 'the centre decides and the local pays' means the central government decides on policies but requires its local subordinates to provide the financial resources. The politics of this practice implies that local government has to take different strategies to cope with the unfunded mandates with various consequences. As an empirical study framed by Niskanen's rational choice theory and Dunleavy's 'bureau-shaping' model, this paper examines how the unfunded mandates impact local government behaviour. Its main focus is the question of how the local officials respond, the extent to which they comply or resist and the techniques they use to adapt to these mandates. This paper finds when deciding how to pay the bill for the centre, local officials have to take a number of principles into consideration. They need to stick to the people-orientated principle and to finance money for salaries and operation to the extent that they can; they also have to see if the mandates are strictly implemented or popular among local people.

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“…The subsequent divergence in the provincial growth rates increased the regional disparity in China in the 1990s. Wang (2010) investigates how decentralization in the 1980s and 1990s altered the foundation of underlying economic inequalities among China's regions. West and Wong (1995) conclude that fiscal decentralization has contributed to very large and growing interregional inequalities in the provision of social services in China.…”

Section: Fiscal Decentralization and Regional Disparitymentioning

confidence: 99%

The Impacts of Fiscal Decentralization on the Quality of Government in China: A Test of Market-Preserving Federalism at the Provincial Level

Zhang

Zheng

Ren

2020

Chinese Public Administration Review

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The potential influence of fiscal decentralization on economic growth in China has been extensively studied. This paper examines whether fiscal decentralization has influenced marketization and regional disparity (intra-provincial expenditure inequality) and the tradeoff between them (quality of government, QoG). When local governments have sufficient fiscal autonomy, decentralizing fiscal power to sub-provincial governments is found to have a greater impact on increasing marketization, highlighting the important role of fiscal self-sufficiency in the effect of fiscal decentralization on market efficiency. Measuring the QoG from the marketization versus disparity perspective, we find a reversed U-shape relationship between revenue decentralization and QoG. Comparing the effect of fiscal decentralization on the QoG in different regions, intra-provincial revenue decentralization in the eastern area is above the optimal level, while the fiscal decentralization in the middle and western areas is near the optimal level. This paper combines the perspectives of fiscal decentralization and governance and conducts an empirical test of market-preserving federalism to explain differences among provinces.

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Fiscal Decentralization and Revenue/Expenditure Disparities in China

Cited by 30 publications

References 69 publications

Determinants of public trust in government: empirical evidence from urban China

Determinants of public trust in government: empirical evidence from urban China

The Centre Decides and the Local Pays: Mandates and Politics in Local Government Financial Management in China

The Impacts of Fiscal Decentralization on the Quality of Government in China: A Test of Market-Preserving Federalism at the Provincial Level

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