Background: China has five layers of government including the central government. Recently, some prefectural governments meet fiscal distress. Methods: We investigate the effects of urban and rural populations and area sizes on the expenditures of the prefecture-level local government by...

Background: China has five layers of government including the central government. Recently, some prefectural governments meet fiscal distress. Methods: We investigate the effects of urban and rural populations and area sizes on the expenditures of the prefecture-level local government by...

We investigate the effects of urban and rural populations and area sizes on the expenditures of the prefecture-level local government. We found the following three results. The first relates to the expenditure for urban populations. At around 220,000 people, per capita local government...

We overcome the problems of data availability and investigate the fiscal multipliers in autonomous prefectures in China. We first estimate the long-run elasticity of gross regional production with respect to fiscal expenditure in autonomous prefectures, using autoregressive distributed lag...

We propose a new empirical approach to analyzing fiscal decentralization and apply it to Chinese intergovernmental fiscal relationships between the central government and provincial governments. In calculating budgetary revenue and expenditure shares, we include extra budgetary revenue and...