Inefficient urban-rural resource allocation and reduced tuition benefits for preschool education: an example from a Chinese county

Purpose: Taking urban-rural disparity into account, this research examines the current service provision of preschool education at the local level in China. Design/methodology/approach: Following a qualitative design, the research is based on a case study on the preschool service provision in Luochuan County in China, with data collected from semi-structured interviews with grassroots officials and residents from the county’s rural and urban regions. Findings: This research finds that preschool services are inefficiently delivered between the county’s rural and urban areas. While services are oversupplied in rural regions, the popular demand for urban kindergartens is inadequately addressed. Moreover, the tuition subsidy offered by the local government has drastically decreased in recent years. Research limitations/implications: This research is confined to a single-case study, so its findings are not necessarily applicable to all Chinese localities. Nevertheless, it proves that these problems in preschool service provision can be a result of the central authority’s tight control. Social implications: Given China’s rapid urbanization and fertility decline, this research argues that overinvestment in rural kindergartens can be a widespread phenomenon throughout China. It also suggests a decreasing popular demand for other public services, such as childcare, in Chinese rural regions. This research calls for special attention to the persistent regional discrepancy in preschool service standards and the welfare cuts after the revenue centralization reform. Originality/value: This research contributes to a clearer picture of the current preschool service delivery by Chinese local governments, which remains largely underexplored by far. It also provides updates on the country’s long-existing urban-rural discrepancy in preschool services.