Research On Controlling Risk Of Local Government Debt From The Perspective Of Local Government

In recent years, the problem of local government debt in our country is more and more outstanding, which is attracted widespread attention in the community. The local government debt growing rapidly, which is worried by many people:the amount of debt has reached or exceeded the internationally recognized warning line; how to repay the existing debt; this part of the debt is like Europe and USA will pose a major threat to the local economy? The author has been engaged in the work on local government financing for a long time, and decide to research the local government debt problem in consideration of the amount expanding rapidly.This paper contains six chapters, regards local government debt risk issues as a center of the paper, goes along the logic:present theory--Practice--the generation mechanism of risk-risk measure--recommendations.Based on the comprehensive analysis of literature on local government debt problem home and abroad, the paper defined local government debt risk, introduced the debt risk status of local government; found out the causes of risk though the static and dynamic analysis:factors of fiscal system, offside of local government behavior, soft budget constraint debt; set a system which contains12index and three level to describe the local government debt risk, and designed the questionnaire, according to judgment matrix given by the ten experts, using the method of analytic hierarchy process for data analysis, found out the weight data index based on importance; according to the experts, proposed some suggestions, such as the national standard of local government behavior, reform the current fiscal system, hardening budget constraint; set up local government debt risk early warning and control system, establish the local government debt repayment mechanism, using the bank loan review ways to control the debt risk of local government.The innovation of this paper, mainly reflected in finding out the causes of risk though the static and dynamic analysis; the selection index model of local government debt risk, by using analytic hierarchy process, expert opinion into the weight of index, so as to find out the several indexes of great influence on the debt risk, and proposed recommendations; and according to the author’s practical experience, set the focus of bank loan review to the control of local government debt risk.