Since the Tax Sharing Reform in 1994, the local government revenue of the People's Republic of China (PRC) has faced downward risk problems. This paper reviews the fiscal and taxation reforms in the central and local governments of the PRC and focuses on evaluating the effectiveness of fiscal...

Since the Tax Sharing Reform in 1994, the local government revenue of the People's Republic of China (PRC) has faced downward risk problems. This paper reviews the fiscal and taxation reforms in the central and local governments of the PRC and focuses on evaluating the effectiveness of fiscal...

This article introduces the analytical framework of quot;government competitionquot; which encompasses current models of Chinese local government like the quot;developmentalquot; or quot;entrepreneurial statequot; as special cases. The argument is based on a detailed empirical case study of...