An analysis of the above expenditures shows that in 2010 the central government will spend a total of 807.782 billion yuan on areas that are directly related to people's lives, such as education, medical and health care, social security, employment, low-income housing, and culture, an increase of 65.134 billion yuan or 8.8%. The central government will spend a total of 818.34 billion yuan to benefit agriculture, rural areas, and farmers, an increase of 93.03 billion yuan or 12.8%. This figure includes 316.38 billion yuan for agricultural production; 133.49 billion yuan in direct subsidies to grain growers, general subsidies for purchasing agricultural supplies, and subsidies for purchasing superior crop varieties and agricultural machinery and tools; 310.85 billion yuan for rural education, health care, and other social programs; and 57.62 billion yuan for the expenses and interest related to reserves of agricultural products and associated interest payments. Tax rebates and general transfer payments from the central government to local governments will be used primarily to improve people's lives and benefit agriculture, rural areas, and farmers.

In 2010, total central government investment from public finance budget funds, revenue from government-managed funds and income from state capital operations used in government investment funds will reach 992.7 billion yuan, an increase of 572.2 billion yuan over the 2008 budgeted figure. Adding 104 billion yuan from the last quarter of 2008 and the increase of 503.8 billion yuan in 2009, we will achieve the target of 1.18 trillion yuan in new central government public investment.

5. Central government spending on tax rebates and transfer payments to local governments

Central government tax rebates and transfer payments to local governments in 2010 will reach 3.0611 trillion yuan, an increase of 198.97 billion yuan or 7%. This figure consists of 500.436 billion yuan in tax rebates, an increase of 6.209 billion yuan or 1.3%, and 1.229573 trillion yuan of general transfer payments, an increase of 97.584 billion yuan or 8.6%, constituting 48% of total transfer payments. Special transfer payments will reach 1.331091 trillion yuan, an increase of 95.177 billion yuan or 7.7%, accounting for 52% of total transfer payments. The main reason for this large share of special transfer payments is that the majority of expenditures for continuing to implement a proactive fiscal policy and boosting domestic demand will be borne by the central government by way of special transfer payments to local governments. General transfer payments used for making access to basic public services more equal will amount to 416.8 billion yuan, an increase of 25 billion yuan. These funds will be used principally to strengthen the public finances of the central and western regions and the functional ecological zones around the sources of the Yangtze, Yellow, and Lancang rivers. The total amount of transfer payments to ethnic minority areas will be 33 billion yuan, an increase of 5.412 billion yuan, and will be used to energetically support social and economic development in Tibet, Xinjiang, and other ethnic minority areas. Transfer payments of 7.5 billion yuan, an increase of 2.5 billion yuan, have been appropriated to help cities formerly dependent on now-depleted mineral resources mitigate their longstanding social burdens. A total of 66 billion yuan, an increase of 11.221 billion yuan, has been appropriated to establish a mechanism to ensure adequate basic funding for county-level governments and enhance their capacity to provide basic public services. Transfer payments of 10.8 billion yuan from the reform of taxes and fees on refined oil products have been appropriated to strengthen the maintenance and development of transportation infrastructure.