4.3 Local government structures and center-local relations
3 min read•august 9, 2024
China's local government structures are complex, with multiple tiers from provinces to townships. These levels implement national policies while managing regional affairs. The system aims to balance central control with local autonomy, but tensions often arise.
Center-local relations in China are shaped by and the cadre responsibility system. While local governments have more financial control, they face pressure to meet centrally-set targets. This dynamic creates challenges in policy implementation and regional development.
Administrative Divisions
Provincial and Municipal Governments
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- Provincial governments serve as the highest subnational administrative level in China
- 34 provincial-level divisions include 23 provinces, 5 autonomous regions, 4 municipalities, and 2 special administrative regions
- Provincial governments implement national policies and manage regional affairs
- Municipal governments operate at the prefectural level, overseeing urban areas and surrounding counties
- Municipalities directly under the central government (Beijing, Shanghai, Tianjin, Chongqing) have provincial-level status
- Provincial and municipal governments maintain departments mirroring central ministries (finance, education, public security)
County and Township Administrations
- County-level administrations form the middle tier of local government
- Counties oversee rural areas, while county-level cities manage smaller urban centers
- County governments implement policies from higher levels and provide public services
- Township governments represent the lowest level of state administration
- Townships manage villages and small towns, serving as a bridge between rural communities and higher levels of government
- Township officials often have direct contact with citizens, addressing local concerns and enforcing regulations
Personnel Management
Cadre Responsibility System
- Cadre responsibility system establishes performance targets for government officials
- Officials evaluated based on achievement of economic, social, and political goals
- System aims to incentivize local leaders to implement central policies effectively
- Performance criteria include GDP growth, social stability, and environmental protection
- Successful cadres rewarded with promotions and increased authority
- System criticized for encouraging short-term thinking and data manipulation
- Recent reforms emphasize quality of growth and sustainable development in evaluations
Nomenklatura System
- Nomenklatura system controls appointment and promotion of government officials
- Chinese Communist Party (CCP) maintains authority over key personnel decisions at all levels
- System ensures party control over state institutions and policy implementation
- Nomenklatura lists define positions subject to party approval and management
- Process involves recommendation, evaluation, and appointment of candidates
- System extends beyond government to state-owned enterprises and public institutions
- Critics argue nomenklatura limits meritocracy and reinforces party dominance in governance
Center-Local Relations
Fiscal Decentralization and Regional Disparities
- Fiscal grants local governments more control over revenue and expenditure
- 1994 tax-sharing system reformed central-local fiscal relations
- Local governments responsible for providing public services with limited revenue sources
- Fiscal pressures lead to local government debt and reliance on land sales for income
- Regional disparities persist between coastal and inland areas, urban and rural regions
- Wealthy provinces (Guangdong, Jiangsu) contrast with less developed regions (Gansu, Guizhou)
- Central government implements targeted poverty alleviation and regional development programs
Central-Local Tensions and Policy Implementation
- Tensions arise from conflicting priorities between central and local governments
- Local protectionism can hinder implementation of national economic policies
- Central government struggles to monitor and enforce compliance with directives
- Local officials may selectively implement or resist policies that conflict with local interests
- Center employs various strategies to ensure local compliance (inspections, rotations, anti- campaigns)
- Balancing act between maintaining central authority and allowing local flexibility
- Recent trend towards recentralization in key policy areas (environmental protection, financial regulation)
Key Terms to Review (18)
Accountability issues: Accountability issues refer to the challenges and shortcomings in holding government officials and institutions responsible for their actions and decisions. These issues arise when there is a lack of transparency, mechanisms for oversight, or public engagement, leading to inefficiencies and potential abuses of power. In the context of local government structures and center-local relations, accountability issues highlight the complexities of governance, where local authorities may struggle to align with central government expectations while managing their own priorities.
Administrative Licensing Law: Administrative licensing law refers to the regulations and legal frameworks that govern the issuance, modification, and revocation of licenses by government authorities for various activities or professions. This law is crucial in managing the relationship between local governments and citizens, ensuring that specific standards are met before individuals or businesses can legally operate. It helps in maintaining order, safety, and public welfare while balancing the powers of local governments in administering these licenses.
Central-local relations: Central-local relations refer to the dynamic interaction and balance of power between a central government and its local governments within a political system. This relationship is crucial for understanding how policies are implemented, resources are allocated, and governance is managed across different levels of authority. It encompasses issues of autonomy, accountability, and the distribution of power and responsibilities between the central and local authorities.
Corruption: Corruption is the abuse of entrusted power for private gain, which can manifest in various forms, such as bribery, embezzlement, and favoritism. This phenomenon poses significant challenges to governance, accountability, and public trust, often leading to inefficiencies and inequalities in political and economic systems. In the context of contemporary politics, corruption can undermine the legitimacy of ruling parties and disrupt the relationship between government entities at all levels.
Decentralization: Decentralization refers to the distribution of authority and responsibility from a central government to local or regional administrations. This process allows for greater local autonomy and encourages participation in decision-making at lower levels of government, leading to more tailored governance that can better address the specific needs of local populations.
Dual leadership system: The dual leadership system refers to the governance model in China where local governments operate under both the authority of the central government and their own local Party committees. This structure creates a division of power that emphasizes the dual responsibilities of local officials to both local interests and central directives, ensuring a balance between centralized control and localized governance.
Fiscal Decentralization: Fiscal decentralization refers to the process of redistributing financial responsibilities and authority from central government to lower levels of government, such as regional or local authorities. This transfer allows local governments greater control over their financial resources, enabling them to tailor public services and policies to meet the unique needs of their communities. By empowering local governments, fiscal decentralization can enhance accountability and improve service delivery, but it also poses challenges in terms of equity and efficiency.
Governance Theory: Governance theory refers to the study of how public institutions manage their affairs and the processes involved in decision-making within various levels of government. It encompasses the relationships and interactions between central and local authorities, highlighting the importance of collaboration, accountability, and participation among stakeholders. This theory is crucial in understanding how power is distributed, exercised, and negotiated in the context of local government structures and center-local relations.
Intergovernmental fiscal relations: Intergovernmental fiscal relations refer to the financial relationships and transfers between different levels of government, particularly between central and local governments. This involves the allocation of revenue sources, expenditure responsibilities, and the distribution of fiscal resources, impacting how effectively local governments can operate and deliver services to their communities. Understanding these dynamics is crucial for analyzing the power balance between central authorities and local entities.
Local Party Committee: A local party committee is an organizational unit of the Communist Party of China that operates at the grassroots level, managing political activities, member relations, and party governance within a specific locality. These committees play a crucial role in implementing central policies while also serving as the key link between local government bodies and the higher echelons of party authority, ensuring that the Communist Party's directives are followed in the community.
Network Governance: Network governance refers to a collaborative framework where multiple stakeholders, including government, private sector, and civil society, work together to achieve common goals and address complex societal issues. This approach emphasizes the importance of interconnectedness and shared responsibilities among various actors, enhancing coordination and efficiency in policy implementation. In particular, network governance plays a crucial role in local government structures and the management of internet governance, where different levels of authority and organizations interact to navigate challenges.
People's Congress: The People's Congress refers to the legislative bodies in the People's Republic of China, primarily known for their role in the national and local governance structures. These congresses serve as the primary organs of state power, responsible for enacting laws, approving budgets, and overseeing the work of the government. The relationship between different levels of people's congresses is essential for understanding local government structures and how they interact with central authorities.
Shanghai Model: The Shanghai Model refers to the unique blend of economic reform and local governance that characterized Shanghai's development, particularly since the 1990s. It emphasizes a pragmatic approach to economic growth while maintaining tight political control, showcasing the balance between state-led initiatives and market-driven forces in China's urban centers.
Tax assignment system: The tax assignment system is a fiscal arrangement in China where the central government assigns tax revenues to local governments, determining how much each level of government can collect and retain. This system plays a crucial role in center-local relations, as it influences local governments' revenue generation capabilities and their ability to deliver public services.
Vertical management: Vertical management refers to a hierarchical organizational structure where authority and decision-making are concentrated at the top levels, with lower levels following directives from above. This system is characterized by a clear chain of command, where information and orders flow downward, while feedback or communication from lower levels to upper management is often limited. In the context of local government structures and center-local relations, vertical management highlights how policies and directives from the central government are implemented at the local level.
Wang Qishan: Wang Qishan is a prominent Chinese politician who has served in various key roles within the Chinese government, notably as the Vice Premier of the State Council and as the Secretary of the Central Commission for Discipline Inspection. His leadership has significantly shaped center-local relations, particularly in addressing corruption and overseeing local government operations. Wang's approach to governance emphasizes accountability and efficiency, making him a crucial figure in reforming local government structures in China.
Wenzhou Model: The Wenzhou Model refers to a unique approach to economic development and local governance that emerged in Wenzhou, a city in Zhejiang Province, China. This model is characterized by a mix of local entrepreneurship, market-oriented reforms, and a limited degree of government intervention, demonstrating a distinctive form of grassroots capitalism that has influenced local government structures and center-local relations in China.
Zhou Yongkang: Zhou Yongkang was a prominent Chinese politician who served as the Minister of Public Security and later as a member of the Politburo Standing Committee, making him one of the most powerful figures in China during his tenure. His influence extended into local governance and security matters, significantly impacting center-local relations in China, and his subsequent downfall highlighted issues related to legal reforms and the rule of law within the Chinese political system.