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Efficient use of money
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The increase in the government's income will allow it to function better, says an editorial in China Economic Weekly. The following is an excerpt:

The Ministry of Finance said the government's income from January to November amounted to 4.82 trillion yuan ($642.6 billion), a 33.5 percent growth year on year. The figure for the year will definitely exceed 5 trillion yuan.

The fiscal income of China has seen double-digit annual growth since 2002. It has been driven by the continuous economic boom.

With more financial resources at hand, the government could offer more public services. It could play a stronger role to ensure the economy grows in a sound manner. The authorities have introduced a series of policies to cut emissions, promote energy saving and protect the environment, all of which will have a positive effect on the economy.

The government also boosted its help to the less developed areas and to low-income groups. The expenditure on social welfare, education and other key areas has been greatly increased and will continue to be increased as long as the State coffer stays full.

However, negative influences will also emerge if the government's income grows disproportionately with the development of other social departments.

So it is necessary for the government to consider using public funds more efficiently and further reduce the financial burden of tax payers when time is right.

(China Daily December 27, 2007)

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