From the Finantial Times (link)
China’s inland provinces are suffering serious funding shortfalls because of administrative problems and big regional variations in public spending, according to a study by the Organisation for Economic Co-operation and Development.
Margit Molnar, the author of a 100-page OECD report on China’s public spending, said there was a worrying disparity between government spending patterns and the dire need for social services in inland provinces, especially Anhui and Henan.
The booming city of Shanghai, for example, has had around 10 times as much accumulated capital expenditures as poverty-stricken Henan, she said.
