The Research On Study On The Causes Of Local Government’s Over-debts From The Perspective Of Soft Budget Constraint And How To Control It

Excessive indebtedness of local governments has become an indisputable fact.Based on the data of local government debts in recent years,this paper analyzes the current situation of excessive debt of local government and its soft budget constraint;in view of the exogenous and endogenous causes of excessive debt of local governments,this paper use game model to further analyze the logic of excessive indebtedness of local governments.This paper follows research ideas from theoretical analysis to problem analysis,from the cause analysis to putting forward measures,and takes the new "budget law"as the research background,aiming at the current situation of the local debt budget soft constraint,this paper puts forward specific countermeasures of excessive indebtedness of local governments from five aspects including institutional constraints,the constraints of the rules,the local government’s own constraints,the creditor’s budget constraints and supervision to provide ideas and direction for local government debt control.