IMPACT OF FISCAL DECENTRALIZATION ON POLICY OF LOCAL GOVERNMENTS.

The present study investigate the impact of the fiscal self-reliance or fiscal independence of local government on policy-orientation. The higher the fiscal decentralization level and political awareness of citizen, the greater the growth-orientation weight. The present work has shown that the more autonomy local government has strong fiscal independence, the more economic development expenditure the government expenses and the fiscal decentralization is closely related to the dynamic efficiency of economy, especially economic development.