How to adjust and optimize the structure of China's financial expenditure Detailed?0?3

How to adjust and optimize the structure of China's financial expenditure A, China's financial expenditure structure of the main problems 1, in dealing with the vertical distribution of financial relations at all levels, the system of regulation and control ability and regulation of the strength of the phenomenon of asymmetry is more prominent, the higher level of finance to the lower level of the financial system of the control effect is not ideal. First, the systematic arrangement of transfer payments from higher-level finances to lower-level finances is unreasonable, widening the wealth gap between grass-roots finances and causing many county and township finances to fall into a state of operational difficulty. Secondly, the transfer payments from the higher level of finance to the lower level of finance cannot form the actual financial resources available to the grassroots government, which reduces the financial regulation function of the transfer payments between the upper and lower levels of finance. At present, in the central and provincial financial transfer funds to the county and township grass-roots level, more than 60% is arranged through the special fund, financial transfer funds accounted for less than 40%. This phenomenon, on the one hand, makes the transfer funds in the process of decentralized use of the phenomenon of being intercepted by various departments, increasing the cost of transfer payments, on the other hand, can not effectively alleviate the grass-roots finances facing the contradiction of financial tensions, weakening the transfer funds of the financial regulatory capacity. 2, in the horizontal distribution of government functions, the current financial expenditure structure can not adapt to the requirements of the new period of economic and social development. First, financial expenditure on the integration and regulation of public **** resources is low, reducing the efficiency of public **** resources utilization. The prominent manifestation is in the form of administrative and business charges formed a large number of extrabudgetary financial funds, even in the "two lines of income and expenditure" management, but also only reflects the financial supervision, departmental use of the characteristics of the management of extrabudgetary funds only "two lines of income and expenditure", has not really reached the "two lines of income and expenditure". It is only the "two lines of income and expenditure" in the management of extrabudgetary funds, and has not really reached the "two lines of income and expenditure" in the management and use of extrabudgetary funds. At present, the extrabudgetary financial resources formed by government departments at all levels of "financial supervision, departmental independent use" is still as high as 438 billion yuan, this part of the extrabudgetary funds, although the nature of the financial resources, but in the financial supervision of the departmental independent use of the state. Secondly, the scale of government administrative expenses in the financial budget is too large, which not only reduces the administrative efficiency, but also crowds out other uses of financial funds. 1978, China's administrative expenses amounted to 5.29 billion yuan, which accounted for 4.71% of the financial expenditure, and in 2003, China's administrative expenses amounted to 469,126,000,000 yuan, which accounted for 19.03% of the financial expenditure. 19.03%. If we take into account the expenditures arranged by government departments with extra-budgetary funds, China's administrative and management fee expenditures now account for about 23% of the comprehensive financial expenditures. Thirdly, the structure of fiscal expenditure on economic and social development is unreasonable, resulting in the development of social programs in China lagging behind economic development. In dealing with the economic and social benefits of financial expenditures, due to the long-term existence of people attach importance to economic benefits, ignoring the concept of social benefits, in particular, many local financial departments in the prominent grasp of the construction of financial resources at the same time, failing to pay sufficient attention to the social undertakings of investment, resulting in China's financial expenditure structure of the development of social undertakings is not much investment in the structure of our country, so that our country's economic development and social development presents One leg is long, one leg is short" uncoordinated situation. Strategies for adjusting and optimizing the fiscal expenditure structure To meet the needs of China's economic and social development in the new period, and in accordance with the requirements of comprehensively implementing the scientific outlook on development and building a harmonious society, the fiscal expenditure should embody the characteristics of "moderate scale, reasonable structure, sound function, clear guidance and remarkable performance". In order to realize this goal, it is necessary to make the following adjustments to China's current financial expenditure structure: 1. In accordance with the requirements of correctly handling the relationship between the government and the market, in the implementation of extrabudgetary funds on the basis of the "two lines of income and expenditure" management, in accordance with the principle of "profits out of a hole". Integration of public **** financial resources. In order to reflect the principle of unity and efficiency in the use of financial resources, it is essential that financial resources, both inside and outside the budget, be placed at the disposal of the Government. Fundamental solution to the government's financial funds relatively tight and the various charges department funds generous unreasonable phenomenon, will be limited financial public **** resources for the urgent needs of society in the field of public ****. The realization of the path is to cancel the administrative charges of the special account storage and special account use of nature, the implementation of a unified treasury, unified management, the government centralized use. 2. Deepen the reform of the financial system, and improve China's financial system in accordance with the principle of equalization of financial resources on the basis of a reasonable definition of the public **** responsibilities and public **** authority of all levels of government. Since the adjustment and optimization of the financial expenditure structure involves the expenditure status of financial departments at all levels of the financial system, if the current financial system is not properly adjusted, the optimization of the vertical financial structure cannot be achieved, and for many relatively difficult grassroots finances, the financial basis for the adjustment and optimization of the horizontal financial expenditure structure is simply not available. In view of this, our country should be in a reasonable definition of all levels of government's public **** responsibilities and public **** authority on the basis of the principle of unity of financial and administrative powers and equalization of financial resources, appropriate adjustments to the content of China's tax system and transfer payment system, as soon as possible to improve the country's financial system. 3. Continue to promote the reform of the economic system, administrative system, and business investment and financing system, and adjust and optimize the structure of the cost categories of fiscal expenditure. From the perspective of future development, our country should, according to the process of reforming the economic system, administrative system, and business investment and financing system, start from the stock and incremental adjustment of the structure of financial expenditures, appropriately compress the financial expenditures on economic construction costs, appropriately control and compress the expenditures on administrative costs, appropriately raise the financial expenditures on social **** undertakings, further increase the level of the financial expenditures on social security, and appropriately increase the level of the financial expenditures on national defense. The level of national defense funding should be increased appropriately. 4. Strict management of public funds in fiscal purchasing expenditures, and optimization of the allocation of resources in the public **** area of fiscal purchasing expenditures. From the current and future development point of view, in order to give full play to the function of optimizing the allocation of resources in the field of public **** of financial purchasing expenditures, not only need to further expand the scope of application of the government procurement system, and improve the mechanism of government procurement, but also must be through the reform of the system of public **** use of the car, and appropriately limit the phenomenon of consumption of duties, at the same time, in order to control the problem of excessively high hospitality expenses of all sorts, it is necessary to strictly control the standards of hospitality expenses on the basis of At the same time, in order to control the problem of excessively high hospitality expenses, it is necessary to implement strict total control of hospitality expenses on the basis of strict control of hospitality standards. 5. Strictly manage fiscal transfer expenditures, rationally plan the scope, category and magnitude of fiscal transfer expenditures in accordance with economic and ethical principles, and strengthen social supervision of fiscal transfer expenditures by improving the transparency of fiscal transfer expenditures. First, the scope of public *** benefits of fiscal social security expenditures must be expanded, and social security must be gradually extended from urban to rural areas. Secondly, fiscal subsidies must be withdrawn from the generalized "disguised welfare" misconception, and the scope of the benefits of fiscal subsidies should be reasonably planned in accordance with economic and ethical principles, so as to clearly define the beneficiaries of fiscal subsidies. Thirdly, in order to reflect the economic and ethical principles of tax preferences, it is necessary to learn from international experience and establish a budgetary control system for China's tax-based expenditures. 6. Improve the transparency of fiscal expenditures in accordance with the principle of budget openness. Whether the fiscal expenditure can meet the needs of the social public ****, whether the structure of fiscal expenditure is reasonable, and whether the fiscal funds are properly spent, the key depends on whether the fiscal expenditure is in line with the public opinion. Only by placing fiscal expenditures under social supervision, establishing an effective democratic supervision mechanism, and truly giving members of society the right to know and the right to supervise fiscal expenditures, can we effectively curb the phenomenon of irrational spending of fiscal funds, and promote the continuous optimization of the structure of fiscal expenditures. In view of the relatively low openness and transparency of financial expenditures of all levels of government in China, to expand the right of members of society to know and supervise financial expenditures, it is necessary to further improve the transparency of financial expenditures and establish a sound system for disclosing information on government funds. First, we must continue to deepen the reform of departmental budgets and the centralized treasury payment system, further refine the budget expenditure accounts, and comprehensively and systematically reflect the status of government expenditures. Second, it is necessary to make the budget and final account information disclosed by the government specific, so that members of society can fully understand all the specific data indicators of the government's budget and final account. Policies and Measures to be Taken to Optimize the Structure of Fiscal Expenditures A correct policy on the structure of fiscal expenditures is a powerful lever for the state to regulate economic and social development and optimize the economic structure. In view of the contradictions and problems that our country is currently facing, and in accordance with the requirements of the development of the market economy, the structure of fiscal expenditure must be strategically adjusted, the core of which is to solve the contradiction between the "overstepping" and "understepping" of fiscal expenditure, and to strive to establish, through reforms and policy adjustments, a fiscal structure with reasonable growth in expenditure and a sound internal structure, and to optimize the structure of fiscal expenditure. A reasonable growth in expenditure, the internal structure of pressure, can effectively regulate the behavior of expenditure, management in line with the requirements of the modern market economy, the expenditure operation mechanism. First, increase the reform efforts to change the distribution of the state's excessive financial coverage China's existing scope of financial supply and expenditure distribution structure from the early years of the founding of the country's large financial, supply system development, is built on the traditional planned economy system, its most important feature is that the state's coverage of the face of the excessively wide range of financial expenditures, almost to the whole of the production and consumption of the various aspects of the community to be covered, some of the problems that should be solved by the market is included in the scope of financial distribution. Some problems that should be solved by the market are included in the scope of financial distribution. This kind of supply-system distribution is lagging behind the current changes in the overall pattern of economic distribution, and is also incompatible with the requirements of a market economy; it must be reformed. In particular, it should be pointed out that the country's new financial resources are limited each year, and the pressure to increase expenditure is quite great; economic restructuring, the establishment of a social security system, and the development of science, technology, and education all require increased financial support. This is a major issue that has a bearing on the coordinated development of the entire social economy. However, if the current pattern of financial expenditure distribution is not adjusted, and if it is not possible to reduce what should be reduced, then the treasury will not be able to undertake and meet the above-mentioned key expenditure requirements of the Government, and improving and optimizing the structure of financial expenditures will be an empty phrase. In this regard, three main issues should be addressed: first, the reduction of welfare subsidies for urban residents. The current system of welfare subsidies for urban residents was formed in the past under the planned economic system of high accumulation, low income and low consumption, and has its certain inevitability. Now that the pattern of national income distribution has changed considerably, and the level of residents' income and consumption has increased quite rapidly, the Government does not have to, nor can it afford, to undertake the huge subsidies for residents any longer, and must reform them thoroughly. Some subsidies, such as the price subsidies for meat, non-staple foods, and grains that have been uniformly introduced by the State in recent years, have become an integral part of workers' incomes, and should be combined with wage reforms to change this part of the "explicit subsidy" into wages. The second is to govern and standardize the scope of financial provision for institutions. In the socialist market economy, the institutions do not all have the nature of the public **** needs, financial can not be and should not be on its expenses for the total package, to the market mechanism into the institutions, for different types of different financial management methods. Generally speaking, institutions according to the nature of their services, can be divided into three categories: namely, public welfare, quasi-public welfare and business. Among them: public welfare institutions, such as basic education, basic scientific research, libraries, family planning, public **** epidemic prevention and other institutions, the activities carried out by the typical social **** with the needs of the financial should be guaranteed its funding. Quasi-public welfare institutions, such as higher education, vocational education, radio and television broadcasting, health care, etc., the services provided by these units are between the social *** same needs and personal needs, are necessary for the existence and development of modern society, and basically belong to the scope of the government's public *** budget, but to enjoy the services of the target population to bear a part of the cost, so that the financial support for the form of financial assistance. Therefore, the finance can take the form of subsidy to them. Operational institutions, such as developmental scientific research units, professional sports programs, performing arts groups, art performance venues and social intermediaries, etc., the services provided by these units generally do not belong to the same needs of the community * * * and should be decoupled from the financial supply, and gradually move towards the market. Thirdly, the system of subsidizing the losses of state-owned enterprises should be reformed. The prices and charges of some special industries (such as water, electricity, urban transportation, environmental protection, etc., which belong to the social *** public utilities) still need to be managed by the state, and some state-owned enterprises bear the special responsibility of the government, and the losses incurred as a result should still be subsidized by the treasury. Most other state-owned enterprises belonging to the competitive field, their loss subsidies should be abolished with the advancement of enterprise reform. Second, to take comprehensive measures to control the expansion of administrative personnel and funds In theory, financial allocation is to provide financial security for the government to perform its functions, which ensure the normal operation of the government machine is the most basic responsibility of financial allocation. However, because the government machinery is subordinate to the superstructure, purely non-productive and consumer nature, therefore, both the government machinery itself and the supply of funds, must be strictly total control. The current problem is that the reform of the administrative system is seriously lagging behind the economic reform, the government machine is huge, the institutions are bloated and overlapping, the financial support is too much, the administrative costs show an accelerated expansion of the trend, greatly increasing the financial burden. Data show that the administrative overheads in China's financial expenditure amounted to 104.080 billion yuan in 1996, an increase of 14.5 times over the 1980 figure of 6.679 billion yuan, while total financial expenditure for the same period increased by only 5.46 times. The proportion of administrative costs in fiscal expenditure was 6.8 per cent during the Sixth Five-Year Plan period, 8.8 per cent during the Seventh Five-Year Plan period, 11.9 per cent during the Eighth Five-Year Plan period, and further increased to 13.1 per cent in 1996. It further increased to 13.1% in 1996. Therefore, in order to improve the administrative efficiency of the government and to enhance the financial control ability in the transition of the economic system in the future, it is necessary to take tough measures in various aspects and to strictly control the administrative personnel and administrative expenses. Specific recommendations: First, the full implementation of the "lower management level" management approach within the financial sector, that is, the upper financial level of the lower financial level of the total limit of administrative expenses, administrative staffing and administrative expenditure per capita to put forward a consolidated administrative expenditure control indicators, dynamic assessment, supplemented by a certain degree of incentives and penalties. The purpose and effect of this is to establish a mechanism of constraint and control, to form a pattern of management from the central to the local level of one level to another and one level to another, so as to maintain a reasonable level of expenditure on administrative expenses and to realize the scientific and standardized management of administrative expenses. Second, we are determined to promote administrative reform and streamline organizations, which is the ultimate solution to reducing the number of financially supported personnel and compressing administrative expenses. 1998 reform of State institutions has already taken the lead at this level of the central government, and important steps have been taken towards reform. The next step should be to continue to push forward reforms in this area at the local level without losing time, in accordance with the overall plan and in an unswerving manner. In addition, under the conditions of market economy, the scope of direct management by the government will be narrowed, but the functions and roles of social intermediaries (including accounting firms, auditing firms, law firms, etc.) will be increasing, which is an inevitable trend. However, according to the rules of the market economy, social intermediaries rely on their strengths and competition for survival, and they must be decoupled from the governmental departments, which is not only to alleviate the pressure on the financial provision, but more importantly, to reduce the pressure on financial provision. This is not only to alleviate the pressure of financial provision, but more importantly, to give full play to the independent and impartial functions of social intermediaries. Thirdly, an effective competition mechanism for the civil service should be established. This includes not only the public examination and recruitment system for public servants, but also the gradual introduction of a system of dismissal of cadres in the organization, changing the phenomenon of only entering and not being able to enter the administrative organs, which organically combines motivation and pressure and helps to improve the efficiency of the administration, which is in fact a kind of administrative management system that is compatible with the socialist market. Third, with the advancement of the market economy, the financial need to further strengthen the social public ****ual expenditures Social public ****ual expenditures involve a wide range of areas, including science and technology, education, health, social security, environmental protection, etc., is on behalf of the social **** with the interests of the interests and long-term interests of the expenditures, and is also the structure of the state financial expenditures under the conditions of the modern market economy in a very important expenditures. Under the traditional system, although the proportion of the State's financial resources was high, the bulk of the financial resources were allocated to economic construction, while the proportion of social **** expenditures was relatively low, and the debt of social development was large. Since the reforms, the massive decentralization of the State's financial resources has not only led to a sharp decline in fiscal investment, but has also made it difficult to ensure even the minimum requirements for social and public ****ual expenditures. If this situation continues, it will eventually have a great impact on and constrain economic development as well, and coordinated socio-economic development will be an empty phrase. Therefore, from a macro point of view, China's future fiscal expenditure policy must effectively strengthen social public ****** expenditure. Education investment belongs to social expenditure, in any country is an important element of financial expenditure. State finances should continue to make support for education a priority, and take effective measures to further increase the proportion of education funding in fiscal expenditure. At present, fiscal investment in education accounts for about 80 percent of China's total investment in education, and it is clear that increasing the State's fiscal investment in education is the key to increasing the total amount of investment in education. Another important idea is the need to change the traditional practice of the State treasury covering all education expenses and to mobilize the entire society to take the path of multi-channel financing. Practice has proved that the government-run schools as the main, multi-channel fund-raising, multiple forms of education is suitable for China's national conditions of education development model. First of all, we should study and establish a standardized compensation mechanism for education costs. For the nine-year compulsory education, the state should focus on it, and the financial resources should be tilted to this aspect first. For non-compulsory education, such as higher education and vocational education, the state should undoubtedly also give support, but it should adopt the practice of charging students reasonable fees based on foreign experience, which is a major reform initiative to change the situation of the state over-packing the students and to broaden the source of education funding. Social security is an overall issue concerning China's reform, development and social stability, and needs to be integrated into national fiscal policy planning. To this end, it is necessary to address current problems, adjust the structure of fiscal expenditure distribution, and increase fiscal expenditure on social security. At present and in the coming period, the focus of the reform of the social security system will be on improving old-age security, unemployment relief and the minimum subsistence guarantee for its urban residents, which are the three lines of defense of social security and are all closely related to the State's finances. In particular, we must see that in the medium and long term, with the expansion of the aging population and the unemployed, the demand for social security funds will show rapid growth, which will undoubtedly have a profound impact on the operation of fiscal revenues and expenditures and on the pattern of distribution. For this reason, the financial must be in accordance with the public *** financial requirements, further adjust the current expenditure distribution structure, as soon as possible to make financial funds out of the general competitive field, while the corresponding cuts in administrative expenses and general business expenses, so as to truly social security expenditure as an important element of the financial budget. Fourth, efforts to strengthen the national important industries and areas of financial investment, enhance the long-term development of the national economy in the process of China's future financial expenditure structure adjustment, only pay attention to the social public ****** expenditure is not enough, but also must pay attention to the government's financial investment in the construction of the economy. Modern economic growth theory in revealing the intrinsic connection between investment and economic growth at the same time, but also profoundly discussed the characteristics and role of government investment in the entire social investment. First of all, the government resides in the position of the main body of macro-control, it can evaluate and arrange its own investment from the perspective of social benefits and social costs, without taking profit as the main purpose, the completion of government investment projects, such as social infrastructure, etc., can greatly improve the overall efficiency of the national economy. Secondly, the government is well capitalized, and the source of funds is generally gratuitous, so it can engage in large-scale projects and long-term projects. Thirdly, the government can engage in investments with good social benefits but average economic benefits. This shows that government investment has distinctly different characteristics compared with non-government investment, and that government investment is an important force in promoting economic development. China is still a country with relatively backward productivity, and the task of industrialization is very arduous. Without the Government's unified strategic planning for industrialization and strong government investment, it is almost impossible to achieve the task of industrialization and the strategic goal of the "three-step approach" within a not-too-long period of time. Future financial investment should change the past practice of "spreading pepper" and concentrate financial resources on the most urgently needed aspects of national economic development and national macro-control. In my opinion, the direction and focus of medium- and long-term financial investment mainly include the following aspects: First, support for social public **** infrastructure construction. Infrastructure is an important part of the national economy, it is to provide indispensable material carriers and basic elements for human production and life, in the process of national economic development has an important industrial status and strategic position. State finance to strengthen investment in infrastructure construction can not only effectively stimulate domestic demand and rapidly drive economic development, but also avoid duplication of construction, which is conducive to adjusting and improving the structure of investment and the economy, and the investment risk is small, the long-term economic and social benefits are good, and it can find a way out for the idle capital, create more employment opportunities for laid-off workers and rural surplus labor, and is conducive to increasing the consumption of urban and rural residents, and to realizing a virtuous cycle of the national economy and a long-term economic development. The virtuous cycle of the national economy and long-term stable development. Secondly, efforts will be made to strengthen the basic status of agriculture. Agriculture is the basic industry of the national economy and a weak industry in the market competition. Most countries in the world take agriculture as the object of government protection, and finance is an important means for the government to protect agriculture. Financial investment in agriculture focuses on: support those risks, low economic efficiency of investment, the development of agriculture plays a protective, developmental or demonstrative benefits of the project, such as large and medium-sized agricultural infrastructure, agricultural research and new technology promotion, ecological environmental protection and other aspects of investment, which is difficult for other agricultural investment in the main body of the Government's financial protection of the focus of agriculture. Third, take effective measures to increase support for scientific and technological progress and development. China is a developing country, in order to accelerate the development of social productive forces, increase the country's comprehensive economic strength, to achieve modernization and development of strategic objectives, we must take measures in the future, effectively and efficiently strengthen the scientific and technological inputs, so as to truly play the role of scientific and technological progress on the driving force of economic development. First, we must continue to play the role of the main channel of financial investment in scientific research. In the implementation of major national scientific and technological development programs, the operation of scientific and technological projects, as well as the development of key scientific research institutes, financial investment in science and technology plays a leading role, directly or indirectly affecting the development of industry and social progress, the State must pay attention to. In the coming period, the focus of national financial investment in science and technology should include: First, continue to increase the funding of major national scientific research programs, such as the Science Foundation, "863" high-tech, climbing plan and knowledge innovation project and other special inputs, support the national key basic research units and beyond the boundaries of the sector, focusing on the advantages of the disciplines of the basic scientific research base construction, for China's basic scientific research and development, and the development of the national scientific research institutes. The construction of research bases has created conditions for prioritizing the development of China's basic research and high-tech research. Secondly, it will implement a key tilting policy for investment in agricultural science and technology, so as to improve the generally backward conditions of agricultural research as soon as possible. Third, priority should be given to the needs of population, resources and environment, medicine and health, and information, so as to promote the development of key social development areas. Fourthly, on promoting the development of the state-owned economy, fiscal investment policy orientation. The state-owned economy has always occupied a dominant position in China's national economy, and it is an important pillar source of finance, so supporting the development of the state-owned economy will be a long-term task for the state finance. Especially after the accession to the WTO, the state-owned economy is facing new pressures and impacts, which objectively requires further strengthening of financial support, and there should be a sense of urgency. First, it should actively support the state-owned economy to carry out enterprise organizational restructuring, and focus on cultivating the growth of large companies and groups with highly intensive capital technology, human resources and organization. Secondly, it is necessary to support the technological transformation of the state-owned economy and improve its technological level and competitiveness. In this regard, the focus of financial investment support lies in actively introducing advanced technologies, encouraging enterprises to carry out technological innovation, accelerating the development and utilization of new products, technologies and equipment, and eliminating outdated processes and equipment in accordance with the national industrial policy, so as to genuinely promote and facilitate the upgrading of key enterprises in key industries. Thirdly, to further implement and improve the preferential policies on enterprise income tax related to the reorganization and restructuring of large state-owned enterprise groups, to reduce the burden on enterprises and to increase the accumulation of enterprises, which is an important indirect measure of the national financial investment policy. On the optimization of China's financial expenditure structure of a number of thinking Deng Lihong Abstract: The article from the actual situation of China's economic development at this stage, put forward a number of financial expenditure structure optimization countermeasures. In order to improve the efficiency of China's resource allocation, accelerate the construction of socialist modernization, in line with the wave of economic globalization and the requirements of the new economic revolution. Keywords: fiscal expenditure, structural optimization, countermeasures, Classification Number: F810.4, Document Identification Number: A, Article Number: 1004-4914(2003)08-019-02, Fiscal expenditure structure refers to the combination of various types of expenditures in the total amount of fiscal expenditure, and the proportion of various types of expenditures in the total amount of expenditures. Optimization of fiscal expenditure structure refers to the state in which the total scale of fiscal expenditure accounts for a reasonable proportion of the gross national product within a certain period of time, and the internal components of fiscal expenditure meet the purpose of the same needs of the society*** and the proportion of each component in the total fiscal expenditure is coordinated and reasonable. In essence, it is a rational allocation of financial resources to meet different social and public **** needs. There exists a close correspondence between the structure of fiscal expenditure and the functions of the government, and the structure of fiscal expenditure reflects the scope and direction of the government's activities and the policy tendency and changes in a period of time. Therefore, fiscal expenditure must have a scientific and reasonable structure. With the establishment of the socialist market economic system and the transformation of government functions, the establishment and improvement of the public **** financial system, strengthen the management of financial expenditure, improve the efficiency of the use of financial funds has become more and more urgent. From the current financial reform of China's overall operating situation, although significant progress has been made, but the financial management is relatively lagging behind, especially in the field of financial expenditure, there are a large number of problems, structural irrationality, the scope of the supply of financial funds, there are "offside" and "lack of" and other problems, resulting in China's fiscal management. This has led to many difficulties in the normal operation of our country's finance. In this paper, based on the analysis of the current situation of China's financial expenditure structure, put forward the optimization of China's financial expenditure structure of the proposal, in order to throw a brick to attract jade. First, the current financial expenditure structure of the main problems existing in the 1. financial funds supply scope is not standardized. Since the reform and opening up, China's financial revenue situation has been broken, but the traditional distribution of the country's all-encompassing ideas and financial expenditure situation is still maintained, the scope of the supply of financial funds failed to make corresponding adjustments, the lack of a clear, scientific definition, to a considerable extent inherited the supply system of the planned economic system of distribution. Specifically manifested in: the government and finance in the allocation of resources in the field of positioning is not clear, the scope of financial functions and expenditure responsibility failed to adapt to the requirements of the development of the market economy to make corresponding adjustments. 2. The proportion of expenditures on economic construction has been declining year by year, but from the point of view of the requirements for the construction of public **** finances, its proportion is still on the high side. The proportion of economic construction expenditures declined from 56.08% in the Sixth Five-Year Plan period to 39.17% in the first four years of the Ninth Five-Year Plan period. The deep-seated reasons for this decline can be attributed to the transformation of the system and the decentralization of enterprises and localities, which have led to a diversification of the main bodies of investment in economic construction. On the other hand, some deficiencies in the institutional reform have weakened the government's revenue function, and the government's financial resources have been unable to support large-scale construction investment. At the same time, it must be noted that the internal structure of China's economic construction expenditures is not reasonable, and the government participates in too many competitive and operational projects, i.e., the expenditures on production are on the high side, while the expenditures on infrastructure and public utilities are insufficient, and the proportion of their expenditures is declining more rapidly. Obviously, from an overall and international comparative point of view, the proportion of China's expenditure on economic construction is still relatively high. 3. The proportion of administrative expenditures is increasing year by year. China's administrative expenditure as a proportion of financial expenditure is at a high level, the proportion of administrative expenditure from the "Sixth Five-Year Plan" period of 7.85% to the "Ninth Five-Year Plan" the first four years of 14.98%, the growth rate has exceeded the growth rate of fiscal revenues, fiscal expenditures and GDP. The growth rate has exceeded the growth rate of fiscal revenue, fiscal expenditure and GDP. The growth of administrative expenditures with economic development, social progress and the growth of the rational side; but more importantly, due to the unreasonable expansion of institutions, excessive staffing, rapid growth of funds, service inefficiency of the irrational side. In our country's current financial expenditure ratio is already very low, too high government operating costs and too high proportion of administrative expenditures, to accelerate China's economic development is extremely unfavorable. 4. The proportion of social, cultural and educational expenditures is rising slowly. China's social, cultural and educational expenditures as a proportion of financial expenditures has been at a relatively low level, its proportion from the "Sixth Five-Year Plan" period of 19.74% only rose to the "Ninth Five-Year Plan" the first four years of the 27.02%, the growth rate is far lower than the growth rate of administrative expenditures. From an international comparative point of view, in the 1990s, developing countries, due to the relatively weak educational foundation and the great importance attached to education, kept this proportion at a high level, while the proportion in China was low, below 5%. This is not only a very low level compared with that of developed countries, but it is also very much out of step with our economic growth, reflecting the fact that the level of support for and attention to education in our country has yet to be raised. In terms of medical and health expenditures, our country is also at a relatively low level of spending, below 1 percent. The proportion of social security expenditures in fiscal expenditures is less than 5%, which is at the lowest level among developing countries, indicating that there is still a long way to go in the construction of China's social security system. 5. The decline in the proportion of agricultural expenditures has constrained the further substantial development of the national economy. In recent years, although the central government has been paying more attention to the development of agriculture, and the proportion of the central government's expenditure on agriculture in the total expenditure of the local government is on the rise, the local government, for the sake of one-sided growth of the economy of the region, has repeatedly reduced the investment in agriculture and invested the funds in other industries which have less investment and quicker results. Because of the large proportion of local finances, even though the central government has repeatedly raised the proportion of agricultural expenditures in its finances, the national level has been unable to control the momentum of the decline in the proportion of agricultural expenditures, which is extremely unfavorable to the promotion of national economic development. 6. Social insurance expenditure is obviously insufficient, restricting the rapid establishment of the market economy system. China's current level of social security is very low, only close to the level of the 1960s in the western developed countries, but China's current economic strength is far inferior to that of the western developed countries at that time. Therefore, China must now establish a socialized social security system, which must be compatible with our modern enterprise system and business mechanism. In short, the structure of China's financial expenditure is in an extremely irrational state, which, on the one hand, makes the national key construction lagging behind, reduces the efficiency of resource allocation, enhances the "bottleneck" constraints of infrastructure, and affects the process of optimizing the structure of the national economy. On the other hand, the State's finances are gradually developing into "food" finances, and the role of macro-control of economic operations is becoming weaker and weaker. The expenditure structure is unreasonable and needs to be adjusted and optimized. Adjustment and optimization of financial expenditure structure, is to improve the level of financial management and efficiency of the main content, but also out of financial difficulties, the establishment of a solid, balanced, strong national financial inevitable choice. Therefore, it is necessary to optimize the expenditure structure, rationally transform the government functions, and scientifically determine the focus of expenditure. Second, the optimization of China's financial expenditure structure of the necessity of analysis of financial expenditure involves all sectors of the national economy, as one of the means of macroeconomic regulation and control of the government, to stimulate the economy, stabilize the regime, coordination of the development of various undertakings, and improve the living standards of the people have a pivotal role. However, at present, China's financial expenditures continue to grow, the reality of the financial expenditure structure of the phenomenon of the lack of position and the phenomenon of overstepping, resulting in financial chaos and increasingly sharp contradiction between revenue and expenditure. Therefore, the optimization of fiscal expenditure structure is urgent and imperative. 1. The optimization of financial expenditure structure is an important guarantee for the coordinated and stable development of national economy. From the perspective of world economic development, the optimization and progress of financial expenditure structure has become a significant mark of modern economic development, and dominates the direction of economic development. Under the condition that the total amount of financial allocation resources is relatively stable and difficult to make significant changes, the optimization and adjustment of the financial expenditure structure becomes more important to the society. Changes in the structure of expenditures affect the ratio of social accumulation and consumption, thus dynamically influencing the potential for economic development. It can be seen that the transformation of the expenditure structure is closely related to economic development, and only when the transformation of the expenditure structure improves the allocation of resources and promotes economic growth can we call it