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The Theory and Empirical Analysis of Special Transfer Payments Leakage

WANG Chong(Shanghai University of Finance and Economics,Shanghai 200433,China)  
In recent years,as a specific policy tool to improve the efficiency of the supply of public goods and to promote equity,special intergovernmental transfer payments have been extensively applied in education,health,social security and other public fields. However,some data shows that a large number of special transfer payments has not been used for the designated projects. This paper theoretically explains the causes,characteristics and effects of the transfer payments leakage from the perspective of institution comparison and behavior analysis,and analyzes the special education transfer payments from central to local government within 1998 to 2001. Finally,it raises some corresponding countermeasures and points out the further research direction.
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