A Local Financial Mechanism Innovation Study Based On The Perspective Of Local Government Debt

Along with the social economy, the development of the tax collection and administration level enhances unceasingly, the debt risk gradually emerge. However, in the central and local government fiscal revenue has been generally rising at the same time, government debt more and more, because the local government debt to economic development in the fast lane of extrusion.Because of the tax reform, in order to improve the enthusiasm and creativity, in local government to ease restrictions on financial power center gradually to the local government, in order to improve the efficiency of public funds. However, many local governments to promote the development of the local economy, local urban infrastructure improvement and the need of the implementation of the national fiscal policy, the financial capital is limited, excessive increase in investment, which leads to local government debt scale expands unceasingly, in the central and local fiscal finances of unequal power. And their functional departments of local government debt risk, there is a huge obstacle to economic and social sustainable development. The accumulation of local debt affect the healthy development of social economy, serious when even will cause social unrest, massive financial crisis on the basis of theory and practice of local fiscal system reform and innovation, and the analysis of the relationship with local government debt problem; At the same time, the dissolution of financial risk, and probes into the feasibility of local government debt management, and on this basis, proposed the corresponding countermeasure and the suggestion.