On Transformation of Land Finance from the Perspective of Local Economic Growth-System GMM Analysis Based on Dynamic Panel Data of Prefectural Cities

Xinyang Zhang

doi:doi:10.11648/j.ijefm.20190701.12

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On Transformation of Land Finance from the Perspective of Local Economic Growth-System GMM Analysis Based on Dynamic Panel Data of Prefectural Cities

Xinyang Zhang

Published in International Journal of Economics, Finance and Management Sciences (Volume 7, Issue 1)

Received: 15 December 2018 Published: 1 February 2019

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Abstract

Based on the panel data of 265 prefecture-level cities in China, the dynamic panel model system (GMM) was used to estimate the relationship between local economic growth and land finance. The results of the study indicate that local economic growth is largely influenced by land finances. From the perspective of sub-regions, the impact of land finance on local economic growth in different regions is significantly different, having more influence on the economic growth in the central and western regions than the eastern regions. In the current environment of economic development, land finance has its own significance, and its role in promoting local economic development, especially in the central and western regions, cannot be underestimated. The local government should transform the land finance from the three aspects of land fiscal revenue, expenditure and the transformation of local government functions, in order to alleviate the current adverse impact of land finance on economical and social development.

Published in	International Journal of Economics, Finance and Management Sciences (Volume 7, Issue 1)
DOI	10.11648/j.ijefm.20190701.12
Page(s)	6-12
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2019. Published by Science Publishing Group

Keywords

Land Finance, Dynamic Panel, System GMM, Economic Growth

References

[1]	Lu Wei, Xu Hongwei: Economic Impact of Land Finance and Its Follow-up Risk Response, Comparative Economic and Social Systems, 06, 2012, page 78-86.
[2]	Sun Xiulin and Zhou Feizhou: Land finance and tax sharing system: an empirical explanation, Social Sciences in China, 04, 2017, page40-59.
[3]	Lei Xiaoyu, Gong Liutang; Industrialization and urbanization based on land transfer. Management World, 09, 2014, page 29-41.
[4]	Zhang ping, Liu Xiahui; Urbanization, fiscal expansion and economic growth. Economic Research Journal, 11, 2011, page 4-20.
[5]	Zhang Liangyue; Property tax, tax source substitution and farmland protection. Finance&Economics, 06, 2009, page 110-116.
[6]	Tao Ran, Yuan Fei, Cao Guangzhong; Regional competition, land transfer and local fiscal effects. The Journal of World Economy, 10, 2007, page 15-27.
[7]	Huang Xiaohu; The trend of China's land system and land policy. China Taxation, 04, 2012, page 58-59.
[8]	Song Xiaoning, Yang Zhiguo; Agricultural land acquisition, fiscal decentralization and manufacturing development. Comparative Economic & Social Systems, 06, 2008, page 102-106.
[9]	Li Wei, Hong Guozhi, and Huang Liangxiong: The Enigma of China's Land Financial Growth: Tax System Reform and Strategic Tactics of Land Financial Growth, Economics (quarterly), 04, 2016, page 1141-1160.
[10]	Cao Guangzhong, Yuan Fei, and Tao Ran:Land finance, the evolution of industrial structure and the excessive growth of taxes: an analysis perspective of China's "mystery of tax growth", China Industrial Economics, 12, 2007, page13-21.
[11]	Zou Wei, Liu Hongyi: Is land finance "drinking poison to quench thirst"? Based on the spatio-temporal dynamic spatial panel analysis of prefecture level cities in China, Economist, 09, 2015, page 21-32.
[12]	Zhang Li, Gao Yuanhua, and Xu Xianxiang:Land transfer under the conspiracy of government and enterprise, Management World, 12, 2017, page43-51.
[13]	Zou Xiuqing: Study on the relationship between land finance and economic growth in China -- the hypothesis of land finance Cruz Nez curve hypothesis and panel data inspection, China Land Science, 05, 2013, page 14-19.
[14]	Lei Xiaoyu, Gong Liutang: Industrialization and urbanization based on land transfer, Management World, 09, 2014, page 29-41.
[15]	Tao Ran, Yuan Fei, and Cao Guangzhong: Regional Competition, Land Transfer and Local Fiscal Effects: An Analysis Based on Panel Data of China's Prefectural Cities from 1999-2003, World Economics, 10, 2017, page 15-27.
[16]	Wang Xianbin, Zhang Li, and Xu Xianxiang:Land transfer, infrastructure investment and local economic growth of local governments, China Industrial Economics, 07, 2014, page 31-43.

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APA Style

Xinyang Zhang. (2019). On Transformation of Land Finance from the Perspective of Local Economic Growth-System GMM Analysis Based on Dynamic Panel Data of Prefectural Cities. International Journal of Economics, Finance and Management Sciences, 7(1), 6-12. https://doi.org/10.11648/j.ijefm.20190701.12

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ACS Style

Xinyang Zhang. On Transformation of Land Finance from the Perspective of Local Economic Growth-System GMM Analysis Based on Dynamic Panel Data of Prefectural Cities. Int. J. Econ. Finance Manag. Sci. 2019, 7(1), 6-12. doi: 10.11648/j.ijefm.20190701.12

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AMA Style

Xinyang Zhang. On Transformation of Land Finance from the Perspective of Local Economic Growth-System GMM Analysis Based on Dynamic Panel Data of Prefectural Cities. Int J Econ Finance Manag Sci. 2019;7(1):6-12. doi: 10.11648/j.ijefm.20190701.12

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@article{10.11648/j.ijefm.20190701.12,
  author = {Xinyang Zhang},
  title = {On Transformation of Land Finance from the Perspective of Local Economic Growth-System GMM Analysis Based on Dynamic Panel Data of Prefectural Cities},
  journal = {International Journal of Economics, Finance and Management Sciences},
  volume = {7},
  number = {1},
  pages = {6-12},
  doi = {10.11648/j.ijefm.20190701.12},
  url = {https://doi.org/10.11648/j.ijefm.20190701.12},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijefm.20190701.12},
  abstract = {Based on the panel data of 265 prefecture-level cities in China, the dynamic panel model system (GMM) was used to estimate the relationship between local economic growth and land finance. The results of the study indicate that local economic growth is largely influenced by land finances. From the perspective of sub-regions, the impact of land finance on local economic growth in different regions is significantly different, having more influence on the economic growth in the central and western regions than the eastern regions. In the current environment of economic development, land finance has its own significance, and its role in promoting local economic development, especially in the central and western regions, cannot be underestimated. The local government should transform the land finance from the three aspects of land fiscal revenue, expenditure and the transformation of local government functions, in order to alleviate the current adverse impact of land finance on economical and social development.},
 year = {2019}
}

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TY  - JOUR
T1  - On Transformation of Land Finance from the Perspective of Local Economic Growth-System GMM Analysis Based on Dynamic Panel Data of Prefectural Cities
AU  - Xinyang Zhang
Y1  - 2019/02/01
PY  - 2019
N1  - https://doi.org/10.11648/j.ijefm.20190701.12
DO  - 10.11648/j.ijefm.20190701.12
T2  - International Journal of Economics, Finance and Management Sciences
JF  - International Journal of Economics, Finance and Management Sciences
JO  - International Journal of Economics, Finance and Management Sciences
SP  - 6
EP  - 12
PB  - Science Publishing Group
SN  - 2326-9561
UR  - https://doi.org/10.11648/j.ijefm.20190701.12
AB  - Based on the panel data of 265 prefecture-level cities in China, the dynamic panel model system (GMM) was used to estimate the relationship between local economic growth and land finance. The results of the study indicate that local economic growth is largely influenced by land finances. From the perspective of sub-regions, the impact of land finance on local economic growth in different regions is significantly different, having more influence on the economic growth in the central and western regions than the eastern regions. In the current environment of economic development, land finance has its own significance, and its role in promoting local economic development, especially in the central and western regions, cannot be underestimated. The local government should transform the land finance from the three aspects of land fiscal revenue, expenditure and the transformation of local government functions, in order to alleviate the current adverse impact of land finance on economical and social development.
VL  - 7
IS  - 1
ER  -

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Author Information

Xinyang Zhang

School of Materials Science and Engineering, University of Jinan, Jinan, China

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APA Style

Xinyang Zhang. (2019). On Transformation of Land Finance from the Perspective of Local Economic Growth-System GMM Analysis Based on Dynamic Panel Data of Prefectural Cities. International Journal of Economics, Finance and Management Sciences, 7(1), 6-12. https://doi.org/10.11648/j.ijefm.20190701.12

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ACS Style

Xinyang Zhang. On Transformation of Land Finance from the Perspective of Local Economic Growth-System GMM Analysis Based on Dynamic Panel Data of Prefectural Cities. Int. J. Econ. Finance Manag. Sci. 2019, 7(1), 6-12. doi: 10.11648/j.ijefm.20190701.12

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AMA Style

Xinyang Zhang. On Transformation of Land Finance from the Perspective of Local Economic Growth-System GMM Analysis Based on Dynamic Panel Data of Prefectural Cities. Int J Econ Finance Manag Sci. 2019;7(1):6-12. doi: 10.11648/j.ijefm.20190701.12

Copy | Download

@article{10.11648/j.ijefm.20190701.12,
  author = {Xinyang Zhang},
  title = {On Transformation of Land Finance from the Perspective of Local Economic Growth-System GMM Analysis Based on Dynamic Panel Data of Prefectural Cities},
  journal = {International Journal of Economics, Finance and Management Sciences},
  volume = {7},
  number = {1},
  pages = {6-12},
  doi = {10.11648/j.ijefm.20190701.12},
  url = {https://doi.org/10.11648/j.ijefm.20190701.12},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijefm.20190701.12},
  abstract = {Based on the panel data of 265 prefecture-level cities in China, the dynamic panel model system (GMM) was used to estimate the relationship between local economic growth and land finance. The results of the study indicate that local economic growth is largely influenced by land finances. From the perspective of sub-regions, the impact of land finance on local economic growth in different regions is significantly different, having more influence on the economic growth in the central and western regions than the eastern regions. In the current environment of economic development, land finance has its own significance, and its role in promoting local economic development, especially in the central and western regions, cannot be underestimated. The local government should transform the land finance from the three aspects of land fiscal revenue, expenditure and the transformation of local government functions, in order to alleviate the current adverse impact of land finance on economical and social development.},
 year = {2019}
}

Copy | Download

TY  - JOUR
T1  - On Transformation of Land Finance from the Perspective of Local Economic Growth-System GMM Analysis Based on Dynamic Panel Data of Prefectural Cities
AU  - Xinyang Zhang
Y1  - 2019/02/01
PY  - 2019
N1  - https://doi.org/10.11648/j.ijefm.20190701.12
DO  - 10.11648/j.ijefm.20190701.12
T2  - International Journal of Economics, Finance and Management Sciences
JF  - International Journal of Economics, Finance and Management Sciences
JO  - International Journal of Economics, Finance and Management Sciences
SP  - 6
EP  - 12
PB  - Science Publishing Group
SN  - 2326-9561
UR  - https://doi.org/10.11648/j.ijefm.20190701.12
AB  - Based on the panel data of 265 prefecture-level cities in China, the dynamic panel model system (GMM) was used to estimate the relationship between local economic growth and land finance. The results of the study indicate that local economic growth is largely influenced by land finances. From the perspective of sub-regions, the impact of land finance on local economic growth in different regions is significantly different, having more influence on the economic growth in the central and western regions than the eastern regions. In the current environment of economic development, land finance has its own significance, and its role in promoting local economic development, especially in the central and western regions, cannot be underestimated. The local government should transform the land finance from the three aspects of land fiscal revenue, expenditure and the transformation of local government functions, in order to alleviate the current adverse impact of land finance on economical and social development.
VL  - 7
IS  - 1
ER  -

Copy | Download