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Fiscal decentralization and rural public services–a new structural economics perspective

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  • Zheng, Fengyi
  • Bai, Yi
  • Hu, Ming
  • Liou, Jennhae

Abstract

Based on the perspective of new structural economics, we examine the relationship between fiscal decentralization and rural public services. The results show that fiscal decentralization can promote the improvement of rural public services, while the promotion effect gradually weakens with the improvement of economic development. When the per capita GDP reaches 70,182 yuan and gradually enters the ranks of high-income countries, the promotion effect of fiscal decentralization on rural public services will be inhibited. Further analysis shows that the relationship between fiscal decentralization and rural social security expenditure follows the above relationship.

Suggested Citation

  • Zheng, Fengyi & Bai, Yi & Hu, Ming & Liou, Jennhae, 2025. "Fiscal decentralization and rural public services–a new structural economics perspective," Finance Research Letters, Elsevier, vol. 83(C).
    • Handle: RePEc:eee:finlet:v:83:y:2025:i:c:s1544612325008736
    DOI: 10.1016/j.frl.2025.107614
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    1. Fang, Ziwei & Peng, Yinghao & Zhang, Gaofei & Zheng, Fengyi, 2025. "Fiscal decentralization, catch-up strategy, and social security," Finance Research Letters, Elsevier, vol. 86(PG).
    2. Yang, Shiyu & Qiu, Ye & Cai, Wanhuan & Wang, Dawei, 2025. "Digital financial inclusion, environmental governance and household economic resilience," Finance Research Letters, Elsevier, vol. 85(PE).

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