Finance is a discipline that studies government financial activities and policies, focusing on how the government obtains and uses resources to meet the needs of social and economic development. In public finance, there are several basic problems:
1. Government revenue: Finance focuses on how the government obtains revenue to support public utilities and provide public services. This includes tax, non-tax revenue, borrowing and other ways to study how to ensure the rationality, fairness and sustainability of government revenue.
2. Government expenditure: Finance studies how the government decides and manages expenditure to meet public demand. This includes public investment, social security, education, health, national defense and other fields, and studies how to improve expenditure efficiency and control expenditure.
3. Fiscal balance: Finance pays attention to the fiscal balance of the government, that is, the balance of payments. Study the influence of fiscal deficit and fiscal surplus, and how to achieve fiscal balance and sustainable development through reasonable fiscal policy.
4. Fiscal policy: Finance studies how the government uses fiscal means to influence the economy. This includes tax policy, expenditure policy and debt policy. In order to achieve macroeconomic stability, promote economic growth and adjust social distribution.
How to solve the basic problems of public finance
1. Solve the problem of government revenue: design a reasonable tax system, including tax category selection, collection and management mechanism and tax rate setting, and improve the fairness and efficiency of tax collection. Promote tax reform, optimize tax structure, and reduce tax evasion. Diversification of income sources reduces excessive dependence on a single income source.
2. The solution to the problem of government expenditure: formulate clear expenditure priorities and budget planning to ensure that resources are first used to meet basic public needs. Strengthen the evaluation and supervision mechanism to ensure the rationality, effectiveness and sustainability of expenditure. Through cooperation and merger, we will optimize government institutions and service systems and improve administrative efficiency.
3. Solve the problem of fiscal balance: establish an effective financial management system and budget control mechanism to control the fiscal deficit and prevent debt accumulation. Improve the level of fiscal revenue, moderately adjust the expenditure structure and achieve fiscal balance. Strengthen financial planning and risk assessment, and prepare for financial risks in advance.