Author(s)

Ma Rui

Corresponding Author

Ma Rui

Abstract

Finance is the foundation and important pillar of national governance, its function and action space covers the sub-system of national governance - social governance. Grass-roots social governance, as an important foothold and component unit of social governance, is the foundation of the whole system of governance, and the quality of governance is directly related to people's well-being and social stability, however, as an important guarantee of grass-roots social governance, local finance is facing the realistic problem of financial shortage. This paper comprehensively explains the causes of financial shortage in grassroots social governance from two aspects, including the theoretical sources of “the relationship among financial power, administrative power and financial resources and the realistic sources of the impact of “tax sharing system” reform, and fully demonstrates the significance of promoting the current financial system reform to improve the grass-roots social governance through the analysis of typical cases. And it put forwards some pertinent suggestions, such as perfecting financial system in which financial resources and administrative powers match each other, setting up special fund and supporting policy, giving play the leverage role of financial, absorbing management talents in grass-roots society and so on.

Keywords

Financial difficulties at the grass-roots level; Grass-roots social governance; Reform of financial system