The analysis of equalization effect of transfer payment to county and township in China

The effect of transfer payment to county and township is an important issue and should be paid much attention to, since the transfer payment to county and township from the super government is the most important measure to resolve county and township finance difficulty until now. In the paper, the equalization effect of transfer payment to county and township is analyzed from horizontal and longitudinal aspects. During the course of analysis, variation coefficient in statistics and comparative method are employed. The conclusion is that the transfer payment to county and township in China hasn´t reached its equalization goal of public finance. On the basis of that, the reform measure of improvement is proposed.