Fiscal Decentralization,Budgetary Transparency,and Local Government Size in China |
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Authors: | Shujian Zhang |
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Institution: | College of Management, Institute of Contemporary Chinese Politics, Shenzhen University, Shenzhen, China |
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Abstract: | This article makes use of panel data for 31 provinces between 1985 and 2010 and specifies a dynamic panel model to investigate the determinants of local government size in China and achieved several conclusions: (1) the fiscal decentralization since TSS reform in 1994 has increased the local government size; (2) budgetary transparency has a U-shape nonlinear effect on local government size; (3) fiscal revenue is the important factor to drive the overexpansion of local government size in China; and (4) local government size has a strong dependence of past path. |
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Keywords: | budgetary transparency determinants analysis fiscal decentralization local government size |
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