Abstract

General Secretary Xi Jinping clearly stated in the report of the 19th National Congress of the Communist Party of China that protecting and improving people's livelihood must grasp the most direct and most realistic interests of the people．Adhere to everyone's responsibility and enjoyment for all，and continuously meet the people's growing needs for a better life，which make people feel more fulfilled，more secure，and more sustainable．At present，although China's social security system reform has made remarkable achievements，the problems of the history of social security system reform and the remaining problems of transition costs，and the gaps in the social security fund gap are not fully balanced，and the imbalances are not uniform This will undoubtedly bring severe challenges to the higher level and more sustainable development of China's social security system．Under the new economic normal，social security funds must be further“open sourced”．It is one of the important measures to transfer some state－owned capital to enrich social security fund．

The transfer of state－owned capitalization and social security fund has obvious advantages in promoting the equity diversification of state－owned enterprises，optimizing corporate governance structure，improving corporate governance level and promoting more sustainable development of social security fund．but，issues that what is the theoretical and policy basis of transfer，and how the central and local responsibilities of the transfer are clear should be further explored．In particular，the local financial and state－owned capital transfer capacity to make up for the social security fund gap，the size and proportion of local state－owned capital transfer，the way and path of transfer oflocal state－owned capital，and the division of local state－owned capital transfer between central local responsibility and key issues such as post－transfer governance need to be addressed．

This paper studies the combination of state－owned capital transfer social security fund to make up for the current social security policy gap goal and the long－term fund gap target，which is a logical starting point for a institutionalized，long－term arrangement．Through the interpretation of relevant theories and the analysis of the multi－interaction，this research constructs the theoretical analysis framework of the state－owned capital transfer social society fund，and chooses the typical region to use the actuarial balance model to design whether the combination of various schemes in the case of delayed retirement measures the income and expenditure of the social security fund in 2020—2050．And studies the local fiscal capacity and state－owned capital transfer method and ability to make up for the social security fund gap．Based on this，this paper puts forward and focuses on the basis and method of central and local responsibility division，Based on the results of empirical research，it innovates the mechanism construction of interest coordination for local state－owned capital transfer social security fund，And put forward policy suggestions to promote the effective transfer of local state－owned capital to the social security fund．The main contents of this paper are as follows:

Chapter 1 introduction．This chapter expounds the research background and main scope of this paper．On the basis of combing and evaluating the relevant research progress at home and abroad，it clarifies the value and significance，main research methods，research ideas，logical architecture and possible major innovations of the research．

Chapter 2 This section is a general theoretical analysis of the transfer of state－owned capital to social security funds．This chapter explores and systematically analyzes the general theory of state－owned capital transfer to social security fund through basic theory and interactive relationship．The results show that:First，the basic theory shows that social security system，as a social public policy，its system has income redistribution function，while the state－owned assets are also owned by the whole people．The transfer of state－owned capital to the social security fund is in line with the theoretical requirements of social equity and social dividends and also reflects the connotation of social security responsibility sharing and mutual assistance in the“co－construction and sharing”requirements．Second，the analysis of the major interactive relationships shows that，①from a fair perspective，the debts of social security history accounts for intergenerational injustice，and state－owned capital transfer to social security fund is conducive to intergenerational equity;provincial level coordination is not conducive to regional equity，and state－owned capital transfer may exacerbate unfairness between provinces．②from the perspective of governance modernization，the transfer of state－owned capital to social security fund is conducive to the diversification of state－owned enterprise equity and the improvement of corporate governance structure．At the same time，diversification of equity and improvement of corporate governance structure are conducive to enhancing the professional ability and level of undertaking entities to participate in corporate governance．③from a more sustainable perspective，the short－term main purpose of state－owned capital transfer to social security fund is not to reduce the burden of enterprises，but in the long run，it may be the result of transfer，and the transfer of state－owned capital and security fund source structure will interact with each other．④from the perspective of multiple linkages，the transfer of state－owned capital to social security fund and the improvement of capital market will affect each other．⑤from the perspective of inclusive development，the transfer of state－owned capital to the social security fund is a“deferred payment”for the social security fund responsibility in the short term，and“should be obligated”for the long term;the state－owned capital transfer is the external driving force for the social security system to become an inclusive public policy．

Chapter 3 The study on local fiscal capacity to make up for the gap of social security fund—a case study of Y province．In this chapter，the thesis uses multiple methods such as actuarial balance method，predictive analysis method and multi－scheme comparative analysis method to investigate and study the local fiscal capacity to make up for the gap of social security fund by selecting typical regions as a sample in central and western regions．The results show that:First，the aging peak of population in typical regions appears around2035，while under the benchmark situation of current growth rate（low growth program）of fiscal revenue and fiscal subsidies，the fund gap（accumulated surplus depletion）appears around 2033，which is earlier than the aging peak of population．Second，the fund gap size will be around 70%of GDP，is 5.51 times that of the fiscal revenue is the fund income 6.41 times while maintaining the existing economic and fiscal subsidies and the growth rate of the benchmark case from the long－term view．This shows that only rely on the local finance cannot make up for the fund gap．Third，the delay in retirement has greatly reduced the size of the fund gap，which is helpful to ease the pressure on local finance．The above conclusions provide us with some inspirations:First，provinces（regions）whose situation are similar to typical regions are faced with intense pressure to make up for fund gap，simultaneously，local fiscal support capacity is limited．Second，under the same demographic structure，the regional fund gap is relatively small with better economic development，faster growth rate offiscal revenue and subsidies，but it may also account for a large proportion of GDP and fiscal revenue in that year．The ability of local fiscal subsidy fund gap will still be severely tested．The empirical research results show that the fund gap accounts for 41.83%，316.04%and 315.69%of the annual GDP，fiscal revenue and fund revenue，even though the fiscal revenue and fiscal subsidies both rapidly increase，which is beyond the capacity of local finance．Third，the regions with slow growth of economic development，fiscal revenue and fiscal subsidies will face great financial subsidies pressure．The empirical research results show that the fund gap respectively accounts for 90.77%，685.82%and 856.67%of GDP，fiscal revenue and fund revenue in that year which under the circumstances of low growth of fiscal revenue and high reduction of fiscal subsidies．The fund gap scale will be equal to or even exceed the regional GDP scale，which greatly exceeds the local fiscal tolerance．In general，the long－term social security fund gap will cause a certain pressure to local finance in different areas，and local state－owned capital needs to be transferred to alleviate the pressure of the local fiscal subsidies and enhance the sustainability of the social security fund operation and development．

Chapter 4 The study on the transfer method and capability of local state－owned capital to make up for the gap of social security fund—a case study of Y province．This chapter discusses and designs the annual compensation method of fund gap，the method of increasing the income of state－owned capital（size and diameter）and the model of transferring balance of state－owned capital，and sets the return of state－owned capital as to three different growth rates to conduct empirical research on the ability of transferring local state－owned capital to social security fund．The results show:First，it is need to transfer124.17%of the proportion of the owners'equity of local state owned shares（large diameter），and 1359.11%of the paid－in capital of the state（small diameter）in the typical regions of local fiscal revenue，fiscal subsidies，state－owned capital returns to normal growth（low－low growth scenario）benchmark case．This shows that a typical region fully utilizes the local state－owned capital to replenish the social security fund，and the proportion of state－owned capital transfers is higher than its own transfer capacity on the basis of the gap of social security fund subsidized by local finance．Second，the transfer proportion of state－owned equity owners'equity in the 10 schemes is less than 100%，while the proportion of state－owned capital actually received exceeds 100%in the case of high growth of state capital returns．However，if the return of state－owned capital is low，the proportion of state－owned equity owners'equity and the proportion of state－owned paid－in capital are more than 100%，and the proportion is more than 100%．This shows that the use of local state capital to make up for the fund gap is insufficient transfer capacity．According to conclusions from the above ideas and further development，we can get the following enlightenment:a higher proportion of state－owned capital needs to be transferred，and beyond its own ability，which one is the typical area in the economic dimension，fiscal revenue and subsidy scale，scale and increase the yield of state－owned assets with similar levels of provinces（regions）by using local state－owned capital to enrich the social security fund．It can further reduce the transfer of state－owned shares the owner's equity ratio and alleviate the pressure of the transfer if it maintains high levels of growth in fiscal revenue and fiscal subsidies，the results of this article is about 45%．Second，the proportion of state－owned capital needed to be transferred is relatively low，which is within the capacity of local state－owned capital transfer in the provinces（regions）use local state－owned capital to enrich social security fund with higher level than typical regions in terms of economic size，fiscal revenue and subsidy scale，state－owned assets scale and growth rate．The research results of this paper show that the minimum proportion of transferring ownership rights of state－owned shares is 24.91%，and various schemes do not exceed their transfer capacity．Third，the proportion of state－owned capital needed to be transferred is relatively high，which has exceeded their transfer capacity in the provinces（regions）with lower level than the typical regions use local state－owned capital to enrich the social security fund in terms of economic size，fiscal revenue and subsidy scale，state－owned assets scale and growth rate．The research results of this paper indicate that the proportion of transferring ownership rights of state－owned shares is 347.00%，while the proportion of transferring rights can be reduced to the range of transferring ability if both fiscal revenue and fiscal subsidies increase at a high level，but the transferring proportion is still up to 86.82%．Therefore，it is necessary to divide the responsibilities between the central and local governments according to the actual conditions of each region．

Chapter 5 The study on the division of central and local responsibility in the gap oflocal social security fund—a case study of Y province．This chapter mainly studies the methods of the division of central and local responsibilities and empirically researches the feasibility of the division of responsibilities by taking typical regions as examples．Besides，it investigates the transfer ability of local state－owned capital to social security fund after the central government assumes part of the responsibility．It comes to the following conclusions:First，this section studies the method of division of responsibility by taking the proportion of pensions in the central and local state－owned enterprises，the proportion of employed persons，and the proportion of corporate assets as the index in the early stage of the social security system transition and concludes that the central local responsibility division ratio is 40∶60，from the actual situation of the current corporate retirees pension benefits adjustment central financial subsidy ratio，the responsibility division method in this paper is the central local state－owned enterprise retirement pension in the early stage of social security system transition．It is scientific and reasonable to account for the central responsibility to more realistically reflect the reality of different provinces（regions）in China．In addition，this paper also expands the ratio of central and local responsibility division to reflect the reality of different provinces（regions）in China more truly．Second，the proportion of local state－owned capital transfer has dropped significantly after the central shared the responsibility．Taking the central place responsibility 50∶50 classified as an example，the proportion of owner's equity transfer of state－owned shares is between 12.46%and 49.26%of the economic development，fiscal revenue and fiscal subsidies and state－owned capital size and growth faster provinces（regions），transfer proportion between 22.99%and 91.32%in growth medium provinces（regions），transfer proportion between 43.41%and 173.50%in relatively lagging growth provinces（regions）．Third，the pressure of local state－owned capital to the social security fund is relieved，and the transfer capacity is improved after the central government shared the corresponding responsibilities．

Chapter 6 Research on the construction of interest coordination mechanism of local state capital transferring to social security fund．This chapter discusses in the bridging mechanism between specific objectives and long－term institutional arrangements，the interests division balanced mechanism between the central and local government's transfer of state capital，the coordination mechanism between the regulation of state－owned assets transfer and the supervision of social security fund，the whole mechanism between the state－owned capital transfer and the reform and development of state－owned enterprises，the linkage mechanism between state capital transfer and capital market stability and perfection，the balance mechanism construction between state－owned capital transfer and social security system improvement and optimization to promote transfer long－term transformation，institutionalization，legalization and standardization．

Chapter 7 The policy suggestions on promoting the effective transfer of local state－owned capital to the social security fund．This chapter puts forward policy suggestions from two aspects．First，the central government should strengthen the planning layout and responsibility division of state－owned capital transfer，requiring local governments to establish risk warning mechanism and the evaluation standard system of state－owned capital．Second，local governments should pay attention to the organization and guarantee，pushing forward the transfer step by step，improving the quality of transferred state－owned capital and strengthening the supervision of social security fund．

Chapter 8 The main conclusions．This chapter summarizes the main contents and conclusions of this study．

This paper makes innovative exploration and research in three aspects:

First，it makes theoretical exploration and innovative research on the theoretical basis and interaction mechanism of the transfer of state－owned capital to the social security fund．The study indicates that social justice theory，income redistribution theory，co－construction theory and sharing，social dividends theory constitute the important theoretical basis of state－owned capital transfer to the social security fund．The research analyzes and discusses the internal logical relations and interaction mechanisms around the state capital transfer and the realization of social security equity，state－owned state－owned enterprise reform，social security system optimization，capital market improvement and shared development．Therefore，the theoretical exploration of transferring state－owned capital to social security fund is conducted based on“external theoretical basis+internal interaction mechanism”，which provides a new theoretical analysis framework for transferring state－owned capital to social security fund．

Second，innovative design the method of transferring local state－owned capital to social security fund．The study designs the method of the transfer of local state capital to the social security fund include fund gap year up and state－owned capital gains full size（diameter）of state－owned capital，and the balance model of transfer of local state capital to social security fund is explored and constructed to carry on the empirical research of the proportion and capacity of state－owned capital transfer with state－owned shares of state－owned paid－in capital and owner's equity both diameter in the delay retirement，the growth rate of different assets，different ways of transfer different combination conditions，and has formed a variety of alternative local state－owned capital transfer scheme combination．

The third is to explore and research the necessity and basis of the central and local governments to share the local social security fund gap，and originally proposes the specific methods for the division of central and local responsibilities，and empirically studies state－owned capital that the central and local governments should assume and undertake the transfer of state－owned capital scale and proportion．In the meanwhile，the comparative analysis method is used to study the ability of local state capital to transfer social security fund through under the two kinds of situations of the local government fully assumes the responsibility of making up the gap of the social security fund and the central government shares the responsibility of making up the gap of the social security fund．

Key words： Local State－owned Capital Transfer；Social Security Fund Gap;Basic Pension Insurance；Division of Responsibilities Method；The Mechanism Construction of Interest Coordination．