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Two Decades of Fiscal Decentralization and Regional Economic Growth in China

In: China: The Great Transition

Author

Listed:
  • Qiujia Wang

    (University of Glasgow)

  • Bhabani Shankar Nayak

    (University for the Creative Arts)

Abstract

The transition of Chinese economy started with the initiation of reforms and loosening of trade restrictions. This led to the fiscal decentralization which has played an important role in China’s economic development. The decentralization in China has been continuously improved and developed slowly based on social and economic needs of the Chinese society. In recent years, China’s economic growth rate has started to slow down. At this time, the problems of uneven regional development and untenable industrial layout in China have become increasingly serious. Differences in development between different regions and uneven resources distribution have also increased regional economic disparities. It is therefore important to study how to improve the fiscal decentralization system for China’s economic growth and the balanced development of regional economies. It argues that the state should establish a scientific and standardized fiscal decentralization system, change the single assessment system, and streamline administrative expenses to promote balanced development between regions.

Suggested Citation

  • Qiujia Wang & Bhabani Shankar Nayak, 2023. "Two Decades of Fiscal Decentralization and Regional Economic Growth in China," Springer Books, in: Bhabani Shankar Nayak (ed.), China: The Great Transition, chapter 0, pages 9-37, Springer.
    • Handle: RePEc:spr:sprchp:978-981-99-0051-0_2
    DOI: 10.1007/978-981-99-0051-0_2
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