AnalysisofthehorizontalfiscalimbalanceandtoeasebuildingequalizationtransferpaymentsystemSummary:Sincethereformandopeningup,Chinahasmaderemarkableeconomicachievements,butthewideninggapbetweenrichandpoor,unevenregionaleconomicdevelopmenthasbecomesustainableandcoordinateddevelopmenthavetoseriouslyfacethegrimproblem.ThispaperfromtheChina’scurrentfinancialcapacityofthedifferencesinthestartingarea,andthenanalyzesChina’scurrentfiscaltransferpaymentsintheregulationoftheeffectsoflateralbalance,andthecorrespondingspecificationsoftheproposedtransferpaymentsysteminChinatopromotetheequalizationoftheregionandthushavebetterpublicservicesChinatopromotethecoordinateddevelopmentofregionaleconomy.Keywords:equalization;transferpayments;financiallateralbalanceFirst,China’scurrentabilityintheareasofthe1financialanalysisSincereformandopening,withthesocialandeconomicdevelopmentinvariousregions,eachregion’sfinancialcapacityhasbeensignificantlyimproved,butaccompaniedwiththis,differencesinfiscalcapacityofeachregionhasagrowingtrendtoexpandtheso-calleddifferencesinfiscalcapacityofeachregionmainlyreferstothevariousregionsinacertainperiodofdisposablefinancialresourceswithdifferentcapabilities.Thisdifferencereflectsthevariousregionaldifferencesineconomicandsocialdevelopment,butalsoreflectstheabilityoflocalgovernmentstoprovidepublicservices,differencesinpercapitafiscalincomereflectsthefinancialcapacityofeachregionisanimportantindicatorofpercapitaexpenditureisaregiontoreflectthelevelofpublicservicesisanimportantindicatorofthispaperintendstoanalyzethesetwoindicatorsofdifferencesinfiscalcapacityofeachregion.Theregion’spercapitadifferencesinrevenueTheregion’spercapitafiscalrevenuereferstothevariousregionsofthecentralgovernmentnottoacceptthisleveloftransferpaymentsandgovernmentrevenue2ratioofpopulationintheregion.ItcanbeseenfromTableI,alongwithChina’srapideconomicandsocialdevelopment,theregion’soverallleveloffiscalrevenuehasalsobeenacorrespondingincrease,fromtheregion’spercapitarevenueindicators,variousregionsofChina1995fiscalrevenueis312.75yuanpercapita,hasarapidincreasesincethenhasbeenthetrend,by2005allregionsrevenuepercapitafrom2005to1409.72yuanincreaseofabout4.5times.Atthesametimewecanseedifferentpartsofthepercapitarevenueahugedifferencein1995,thehighestrevenuepercapitaareaof??1551.69yuan,whilethelowestinthecorrespondingindexforthe110.61yuan,adifferenceof1441.08yuan.2005Themaximumvalueofthisindicatoris476.11yuanminimum7971.87yuan,boththegaphadwidenedto7495.76yuan.amoreaccuratemeasureoftherelativeindexdifferencecoefficientofview,in1995,thisindicatoris0.9537,thenthisindicatorsofthewayupthechainin2004,1.1870.FromtheabovewecanseethevariousindicatorsofChina’sfiscalrevenuepercapitaofeachregionhasagrowinggapbetweenthetrendofexpansion.32,theregionaldifferencesinpercapitaexpenditureTheregion’spercapitaexpenditurereferstotheregionsinthecentralgovernmenttransferpaymentsarenotreceivedwhentheexpenditureratioofpopulationintheregion.Thisindicatorreflectstosomeextent,aregionalprovisionofpublicservices.WecanseefromTableIIThelevelofpercapitaexpenditurepercapitadifferencesinchangesinthelevelofrevenuecomparedtothechangestosmoothsomeofthedifferencesinpercapitarevenue.1995differenceincoefficientof0.9537,2004thisindicatoris1.1870years,andthiscorrespondstotheaveragefinancialdifferencesinspendingcoefficientswere0.685...