Research on China’s PPP Financial Affordability Evaluation

Zhao Yu; Cao Fuguo

doi:doi:10.11648/j.jwer.20180702.13

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Research on China’s PPP Financial Affordability Evaluation

Zhao Yu, Cao Fuguo

Published in Journal of World Economic Research (Volume 7, Issue 2)

Received: 7 May 2018 Accepted: 4 June 2018 Published: 15 June 2018

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Abstract

This paper studies the reasons that PPP may cause fiscal risk in provision of public services, and points out the necessity of expenditure-scale control in the application of PPP and the essence of financial affordability evaluation. Through analysis on the shortcomings in the current PPP financial affordability evaluation, it puts forward some issues such as the low reliability of China's financial affordability evaluation, lack of supervision on non-general public budgets and backward government accounting system. In addition, this paper proposals policy suggestions of enhancing the provincial-level financial department in the function at management and supervision in accordance with specific issues; of standardizing the government expenditure management; of fully establishing a comprehensive financial reporting system of accrual accounting system by government; and of advancing the legislative process, with a view to provision of reference for China’s PPP fiscal risk management.

Published in	Journal of World Economic Research (Volume 7, Issue 2)
DOI	10.11648/j.jwer.20180702.13
Page(s)	64-72
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2018. Published by Science Publishing Group

Keywords

PPP, Financial Affordability Evaluation, Risk Management

References

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[6]	R Shendy, H Martin, P Mousley. An Operational Framework for Managing Fiscal Commitmentss from Public-Private Partnerships. World Bank Publications, 2013.
[7]	K Funke, T Irwin, I Rial. Budgeting and Reporting for Public-Private Partnerships. International Transport Forum Discussion Papers, 2013.
[8]	Timothy Irwin. Controlling Spending Commitments in PPPs. Palgrave Macmillan UK, 2008.
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[11]	Wen Laicheng. Effective Control of the Financial Risk of PPP Mode. Accounting Research, 2014 (3): 1-1.
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APA Style

Zhao Yu, Cao Fuguo. (2018). Research on China’s PPP Financial Affordability Evaluation. Journal of World Economic Research, 7(2), 64-72. https://doi.org/10.11648/j.jwer.20180702.13

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ACS Style

Zhao Yu; Cao Fuguo. Research on China’s PPP Financial Affordability Evaluation. J. World Econ. Res. 2018, 7(2), 64-72. doi: 10.11648/j.jwer.20180702.13

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AMA Style

Zhao Yu, Cao Fuguo. Research on China’s PPP Financial Affordability Evaluation. J World Econ Res. 2018;7(2):64-72. doi: 10.11648/j.jwer.20180702.13

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@article{10.11648/j.jwer.20180702.13,
  author = {Zhao Yu and Cao Fuguo},
  title = {Research on China’s PPP Financial Affordability Evaluation},
  journal = {Journal of World Economic Research},
  volume = {7},
  number = {2},
  pages = {64-72},
  doi = {10.11648/j.jwer.20180702.13},
  url = {https://doi.org/10.11648/j.jwer.20180702.13},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jwer.20180702.13},
  abstract = {This paper studies the reasons that PPP may cause fiscal risk in provision of public services, and points out the necessity of expenditure-scale control in the application of PPP and the essence of financial affordability evaluation. Through analysis on the shortcomings in the current PPP financial affordability evaluation, it puts forward some issues such as the low reliability of China's financial affordability evaluation, lack of supervision on non-general public budgets and backward government accounting system. In addition, this paper proposals policy suggestions of enhancing the provincial-level financial department in the function at management and supervision in accordance with specific issues; of standardizing the government expenditure management; of fully establishing a comprehensive financial reporting system of accrual accounting system by government; and of advancing the legislative process, with a view to provision of reference for China’s PPP fiscal risk management.},
 year = {2018}
}

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TY  - JOUR
T1  - Research on China’s PPP Financial Affordability Evaluation
AU  - Zhao Yu
AU  - Cao Fuguo
Y1  - 2018/06/15
PY  - 2018
N1  - https://doi.org/10.11648/j.jwer.20180702.13
DO  - 10.11648/j.jwer.20180702.13
T2  - Journal of World Economic Research
JF  - Journal of World Economic Research
JO  - Journal of World Economic Research
SP  - 64
EP  - 72
PB  - Science Publishing Group
SN  - 2328-7748
UR  - https://doi.org/10.11648/j.jwer.20180702.13
AB  - This paper studies the reasons that PPP may cause fiscal risk in provision of public services, and points out the necessity of expenditure-scale control in the application of PPP and the essence of financial affordability evaluation. Through analysis on the shortcomings in the current PPP financial affordability evaluation, it puts forward some issues such as the low reliability of China's financial affordability evaluation, lack of supervision on non-general public budgets and backward government accounting system. In addition, this paper proposals policy suggestions of enhancing the provincial-level financial department in the function at management and supervision in accordance with specific issues; of standardizing the government expenditure management; of fully establishing a comprehensive financial reporting system of accrual accounting system by government; and of advancing the legislative process, with a view to provision of reference for China’s PPP fiscal risk management.
VL  - 7
IS  - 2
ER  -

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Author Information

Zhao Yu

School of Public Finance and Tax, Central University of Finance and Economics, Beijing, China
Cao Fuguo

School of Law, Central University of Finance and Economics, Beijing, China

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APA Style

Zhao Yu, Cao Fuguo. (2018). Research on China’s PPP Financial Affordability Evaluation. Journal of World Economic Research, 7(2), 64-72. https://doi.org/10.11648/j.jwer.20180702.13

Copy | Download

ACS Style

Zhao Yu; Cao Fuguo. Research on China’s PPP Financial Affordability Evaluation. J. World Econ. Res. 2018, 7(2), 64-72. doi: 10.11648/j.jwer.20180702.13

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AMA Style

Zhao Yu, Cao Fuguo. Research on China’s PPP Financial Affordability Evaluation. J World Econ Res. 2018;7(2):64-72. doi: 10.11648/j.jwer.20180702.13

Copy | Download

@article{10.11648/j.jwer.20180702.13,
  author = {Zhao Yu and Cao Fuguo},
  title = {Research on China’s PPP Financial Affordability Evaluation},
  journal = {Journal of World Economic Research},
  volume = {7},
  number = {2},
  pages = {64-72},
  doi = {10.11648/j.jwer.20180702.13},
  url = {https://doi.org/10.11648/j.jwer.20180702.13},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jwer.20180702.13},
  abstract = {This paper studies the reasons that PPP may cause fiscal risk in provision of public services, and points out the necessity of expenditure-scale control in the application of PPP and the essence of financial affordability evaluation. Through analysis on the shortcomings in the current PPP financial affordability evaluation, it puts forward some issues such as the low reliability of China's financial affordability evaluation, lack of supervision on non-general public budgets and backward government accounting system. In addition, this paper proposals policy suggestions of enhancing the provincial-level financial department in the function at management and supervision in accordance with specific issues; of standardizing the government expenditure management; of fully establishing a comprehensive financial reporting system of accrual accounting system by government; and of advancing the legislative process, with a view to provision of reference for China’s PPP fiscal risk management.},
 year = {2018}
}

Copy | Download

TY  - JOUR
T1  - Research on China’s PPP Financial Affordability Evaluation
AU  - Zhao Yu
AU  - Cao Fuguo
Y1  - 2018/06/15
PY  - 2018
N1  - https://doi.org/10.11648/j.jwer.20180702.13
DO  - 10.11648/j.jwer.20180702.13
T2  - Journal of World Economic Research
JF  - Journal of World Economic Research
JO  - Journal of World Economic Research
SP  - 64
EP  - 72
PB  - Science Publishing Group
SN  - 2328-7748
UR  - https://doi.org/10.11648/j.jwer.20180702.13
AB  - This paper studies the reasons that PPP may cause fiscal risk in provision of public services, and points out the necessity of expenditure-scale control in the application of PPP and the essence of financial affordability evaluation. Through analysis on the shortcomings in the current PPP financial affordability evaluation, it puts forward some issues such as the low reliability of China's financial affordability evaluation, lack of supervision on non-general public budgets and backward government accounting system. In addition, this paper proposals policy suggestions of enhancing the provincial-level financial department in the function at management and supervision in accordance with specific issues; of standardizing the government expenditure management; of fully establishing a comprehensive financial reporting system of accrual accounting system by government; and of advancing the legislative process, with a view to provision of reference for China’s PPP fiscal risk management.
VL  - 7
IS  - 2
ER  -

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