Study On Debts And Obligations Of Government In Villages And Towns

As the government in villages and towns is the lowest government in our country, the ways that it survives in the present environments may have great effect on how it operates normally and the stability of the villages and towns. Although many special laws and regulations stipulated that local governments are not allowed to raise loan by themselves, this does not means that the governments in villages and towns in our country have no debts and obligations. Besides some lawful debts, there also are lots of debts and obligations in the sectors of the governments in villages and towns in some kinds of names. The outstanding salaries by the governments in villages and towns, deficiency in the villages and towns social security fund, the gap of payment by the villages and towns financial institutes and the bad debts of the villages and towns enterprises, will totally or partially be repaid off finally by the governments in villages and towns in the fiscal decentralization. And what is worse is that many governments can't tell out how many debts and obligations they have at present. This paper analysis this theme by the public goods theory and the fiscal decentralization theory at first, then portraits how serious the debts and obligations of government in villages and towns, and then is the analysis of the contributing factors about the debts and obligations from the financial in villages and towns, compulsory education and the behaviors of the governments itself in villages and towns, at last the author gives some advice according to different distributing factors.