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Education outlay, fiscal transfer, and inter-region funding equity

A county-level analysis of education finance in China

Bibliographic Data

ID6153189
AuthorsPing Zhang (0000-0003-0663-1850, Fudan University), Zizhou Bu (New York Life Insurance Company (United States)), Wang You-Qiang (0000-0001-5932-1085), Youqiang Wang (0000-0003-1701-1382, Tsinghua University), Yilin Hou (0000-0003-3195-7430, Syracuse University, corresponding author)
Year2016
Volume1
Issue4
Pages591-610
Publication date2016-10-01
Open AccessNo
TypeARTICLE
VenueJournal of Chinese Governance (JOURNAL)
Journal identifiersISSN: 2381-2354 • E-ISSN: 2381-2346
PublisherTaylor & Francis (PUBLISHER • GB)
DOI10.1080/23812346.2016.1243378
OpenAlexW2546950674
LanguageEN
Citations received1
References cited3

Over the past three decades, education finance in China has transitioned, against the background of high economic growth and fast socio-political development, from a local-only financing regime to a new regime that involves a combination of local, provincial and central funding. Beginning in year 2000, the central and provincial governments have stepped in to reduce inter-region disparity and to improve equity and the overall quality of basic education throughout China’s vast rural areas. The fast-track transition provides a good window for scholars to study the impact of the changing education finance regimes. The paper analyses the differential effects of the local, provincial and central funding levels on the within-province equity of education finance, and provides evidence on how policy shocks in a fast growing economy can affect education provision in a transitioning system. We test the differential effects of the financing regime transition on the equity of education finance, taking advantage of provincial level data and a panel data set of county-level jurisdictions across the country. With a constructed inequity index, we examine the impact of policy shocks, controlling for multiple factors. While our results suggest the measures taken may have dampened growth in inequity, they do not provide evidence of improved equity overall, revealing that disparity is still growing between developed and less developed counties

Business · China · Development economics · Differential (mechanical device · Economic growth · Economics · Equity (law · Panel data · Political science · Public economics · Fiscal Policy and Economic Growth · Global Educational Reforms and Inequalities · Local Government Finance and Decentralization · Finance

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Citations per year1
Citation span2025 - 2025 (1)
Highly citedNo

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