The Transmission And Monitoring Of Local Government Debt Risk From The Perspective Of Land Finance

Since the 1994 tax reform, bcal financial self-sufficiency ability has not been significantly improved, in the face of the huge funding gap in the process of urbanization, local governments have chosen to "land finance" as the core of the debt financing to break the dilemma. Among them, in the land as collateral to obtain bank bans and land revenue as a guarantee to issue the city voted bonds are the two most important way. However, the development of debt is not the size of the debt the menace from the rear, it has attracted wide attention from the society. As for the local government, borrowing costs are relatively high, but mainly rely on land finance to maintain solvency. In recent years, China's real estate market downward trend, the local government land revenue dropped significantly, local governments will face the risk of insolvency. In view of the fact that there is so closely relationship between land finance and local government debt, the urgent need to study the conduction and monitoring of local government debt risk from the perspective of land finance.First of all, the paper defines the related concepts of land finance and local government debt, and puts forward the theoretical basis of the article, the historical evolution, current situation and existing problems of local government debt in China are summarized. Secondly, the transmission mechanism of local government debt risk is theoretically analyzed and empirically tested. The results show that the land finance plays a decisive role in the expansion of local government debt. Again, from the perspective of land finance of bcal government debt risk monitoring based on research, construct a contains land finance, including a total of four aspects,15 indicators of local government debt risk monitoring system, data in 2010 to 2014 in five provinces and cities based on local government debt provided the risk of vulnerabilities were horizontal, vertical comparison. From the actively guide the land finance transformation, strengthen the management and control of local government debt and broaden the financing channels of the three aspects of proposed policy recommendations to promote the transformation of land finance and local government debt healthy development.