Inter-Provincial Fiscal Allocation Disparities and Compulsory Education Quality: The Mediating Role of Resource Allocation

Abstract

The issue of fiscal allocation for compulsory education in China has received widespread attention. However, insufficient research has been conducted on the mediating role of resource allocation in the link between fiscal disparities and educational quality, making it difficult to effectively support policy optimization for regional educational equity. Based on statistical data from eastern and western regions, as well as case studies of Zhejiang and Sichuan provinces, this paper systematically analyzes how differences in inter-provincial fiscal allocations impact the quality of compulsory education, with a particular focus on the mediating role of resource allocation. The findings reveal that eastern provinces typically enjoy higher fiscal investments and more balanced resource distribution, resulting in better educational outcomes. In contrast, the western regions face limited fiscal capacity, a shortage of schools and teachers, and restricted improvements in educational quality. Resource allocation plays a significant mediating role between fiscal investment and educational outcomes and is a key factor in explaining regional differences in educational quality. Based on these findings, this paper recommends two main policy directions: increasing fiscal support for less developed regions and planning educational development in a more scientifically sound manner.