China's Return To Expansionary Fiscal Policy

Download or read book China's Return To Expansionary Fiscal Policy written by Shuanglin Lin and published by World Scientific. This book was released on 1999-09-30 with total page 35 pages. Available in PDF, EPUB and Kindle. Book excerpt: This volume examines China's government budgetary condition, analyses the new expansionary fiscal policy, and discusses policy options. China's government budgetary revenue has declined dramatically since the start of economic reforms. Facing slower economic growth, China's new fiscal policy is to increase government expenditures by issuing bonds. With a large increase in government spending, it should not be difficult to achieve 7% growth in 1999. The government should conduct serious cost-benefit analyses of every public project in order to prevent scarce funds from being wasted. In the long run, the government should focus on merging the extra-budgetary and off-budgetary revenues into budgetary revenues, instead of allocating more resources to the government sector.