The Study of the Local Government Liabilities from the View of Public Choice
|School||Shanghai Jiaotong University|
|Keywords||Public Choice Local government Government debt|
Although our current budget law , \The long-term accumulation of local government debt has become the number one killer of threat to our present economic security and social stability . To explain the causes of the local government debt , the introduction of the \officials at the local primary political market , local policies supply market and local implementation of policies in the market behavior . Derived by analyzing our current cadre examination and appointment system , officials imperfections and lack of oversight constraint system and government information disclosure system behavior of bounded rationality local officials pursue personal interests generate perverse incentives and leave the rent-seeking space generation , the final performance of the local government debt risk and expand . Therefore , from the roots to prevent and resolve the problem of local government debt , must compensate for the deep-rooted institutional deficiencies start to accelerate improvements cadres test any system , strengthen supervision and restraint mechanisms to increase the transparency of government information .