Abstract：Local public welfare is mainly provided by the governments. Studies that examine the impact of fiscal decentralization on local public welfare show conflicting results. This paper thus focuses on the nonlinear effect of fiscal decentralization on local public welfare. The paper first analyzes the dynamic relationship between fiscal decentralization and local public welfare level through using the endogenous growth theory. Results show that fiscal decentralization and local public welfare display an inverse U-shaped relationship. Then, we explore this question empirically with a panel set over the 2004-2014 periods in China. Results show that:expenditure decentralization has an inverse U-shaped relationship with public transportation infrastructure service, but has no inverse U-shaped relationship with public health service and public basic education service; these results are robust by using different indicators for decentralization; expenditure decentralization effect has obvious regional heterogeneity. Hopefully, the perspective and conclusion of nonlinear effect of fiscal decentralization on local public welfare in this paper will be particularly illuminating for academic research.
刘亮亮, 贺俊, 毕功兵. 财政分权对地方公共福利的影响——基于非线性和异质性的考量[J]. 系统工程理论与实践, 2018, 38(9): 2267-2276.
LIU Liangliang, HE Jun, BI Gongbing. The effect of fiscal decentralization on local public welfare: A nonlinear study with heterogeneous considerations effects. Systems Engineering - Theory & Practice, 2018, 38(9): 2267-2276.
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2018, Vol. 38 
