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Financing Urban Development in China

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  • John E. Anderson

Abstract

Urban areas in several regions of China are exploding with growth and expanding at a rapid pace. This article examines the revenue sources local governments may use to finance the costs of rapidly expanding infrastructure and provide local public services. Starting with an examination of current urban development policy, recent reform proposals for urban land development and housing construction tax and fee reforms are studied. The primary focus is on the policy debate as to whether the existing system of multiple real estate taxes and fees, often applied once at the time of house purchase, should be converted into a unified real estate tax requiring annual payments. The potential impacts of this policy change on housing prices and patterns of housing development are analyzed.

Suggested Citation

  • John E. Anderson, 2009. "Financing Urban Development in China," Chinese Economy, Taylor & Francis Journals, vol. 42(2), pages 48-62, March.
    • Handle: RePEc:mes:chinec:v:42:y:2009:i:2:p:48-62
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    Cited by:

    1. Weimin Yan & Benhong Peng & Guo Wei & Anxia Wan, 2021. "Is There Coupling Effect between Financial Support and Improvement of Human Settlement? A Case Study of the Middle and Lower Regions of the Yangtze River, China," Sustainability, MDPI, vol. 13(15), pages 1-16, July.
    2. Yao Xiao & Weimin Yan & Benhong Peng, 2023. "Explore the Complex Interaction between Green Investment and Green Ecology: Evaluation from Spatial Econometric Models and China’s Provincial Panel Data," Sustainability, MDPI, vol. 15(12), pages 1-18, June.

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