A Study on Financing and Investment Imbalance between Population Urbanization and Land Urbanization

Abstract

Using the annual data in 20 years during 1993-2012 as samples,this paper analyses the possible variables that may affect the local governments and their officials' behavior when they are carrying out the urbanization investment and financing since the reform of Chinese tax sharing system.The results show that:the promotion incentives,the fiscal decentralization and the industrialization drive have a significantly positive correlation to the investment and financing scale of land urbanization,while private property protection level has a significantly negative correlation.This paper points out that the catch-up strategy of unbalanced development model is the deep-seated reasons for the above system arrangement,and is the key to realizing the coordinated development between the land and population urbanization,as well as the balanced development between urban and rural sectors,the industrial and agricultural sectors.