Study on Local finance and government debt scale
DOI:
https://doi.org/10.54691/bcpbm.v19i.732Keywords:
Local government debt scale, local government investment enthusiasm, Degree of decentralization, Local government financial resourcesAbstract
Based on the scholar’s research on the influencing factors of local government debt, this paper argues that the local government financial resources, degree of decentralization and local government investment enthusiasm in local finance are the significant factors that influence the form of local government debt. This paper also chooses the panel data of China’s 31 provinces (cities) except Hong Kong, Macao and Taiwan from 2010 to 2019, to analyze the influencing factors of local government debt scale and the relationship of local government debt scale in different regions and demonstrates the correctness of the hypothesis proposed in this paper. The analyze result shows that the local government financial resources significantly inhibit the growth of local government debt. The degree of local decentralization is an essential factor to enlarge the scale of local government debt. There is a significant positive correlation between the enthusiasm of local government investment and the scale of local government debt.
Downloads
References
DiAO W T. 70 years of Local government debt in New China: History, Current Situation and prospect [J]. Fiscal Supervision,2019(19):17-21.
Liu H, Fang H. Evolution of Local government debt policy in China since 1978. Local Finance Research,2019(05):32-40.
Liu H. 70 years of development and governance experience of local government debt in New China. Economic Restructuring,2019(04):129-135.
Wang Chaocai, Zhao Bin. Historical perspective, Current Situation analysis and policy Response of Local government debt management in China. Local Finance Research,2018(08):7-14.
Ye Lin, DUAN Chunyu. Policy Suggestions on promoting sustainable development of Local Government debt [J]. China Finance,2021(03):53-55.
Yu J Z. Current situation analysis and Policy Suggestions of Local government debt in China [J]. Bonds,2019(10):55-60.
Ji Yunyang, Fu Wenlin, SHU Lei. Regional competition, shifting expenditure responsibility and expansion of local government debt [J]. Financial Research journal,2019(01):128-147.
Dai Shuangxing, Wu Qimian. An empirical study on land transfer fees, real estate taxes and local government debt scale [J]. Southeast Academic,2016(02):124-131.
Guo Ping, Jiang Shanshan. Impact of budget soft constraint on local government debt scale from the perspective of fiscal decentralization [J]. Journal of Hebei university (philosophy and social sciences edition),2017,42(05):76-85.
Zhong Huiyong, LU Ming. How did fiscal transfer payments affect local government debt? [J]. Financial Research,2015(09):1-16.
Chen X. Tax sharing, local government competition and local government debt [J]. Chinese Public Administration, 2014(11): 95-99.
Ai Fei, WANG Wenfu. [13] Li Jianhua, Li Yanchao, Jiang Lina. [J]. Contemporary Economic Science, 201,43(06):1-14.] Fiscal decentralization, investment impulse and local government debt growth [J]. Finance and Accounting Bulletin, 2021(20): 89-94.
Pan Jun, Yang Xinglong, WANG Yaxing. Journal of shanxi university of finance and economics, 2016, 38(12):52-63.]
Liu Liu, QU Xiaoe. Reexamining the drivers of local government debt expansion in the context of economic policy uncertainty: An empirical analysis based on the perspective of new urban investment bonds [J]. Fiscal Research, 2019(10): 32-46.]
Hou Shiying, Song Liangrong. Research on the impact of fiscal and financial decentralization on the expansion of local government debt [J]. Economic Review, 201, 38(04): 141-149.
Zheng Jie, LIU Danyu. Research on the influencing factors of China's local government debt ratio [J]. Journal of Beijing Vocational College of Economics and Management, 201, 36(02): 29-35.
Liu Hao, Chen Gong. Determinants of local government debt scale: Exploring the sources of inter-provincial differences [J]. Fiscal Research, 2019(02): 30-43.
Wang Jieru. Decentralization, local debt and modern fiscal reform: An analysis of the effects of fiscal decentralization from different perspectives [J]. Contemporary economic science, 2016, 38(06): 82-92+125.]
Chen Wenyan, WANG Tingting. Analysis on the Main determinants and influencing mechanism of local financial resources: A case study of G Province [J]. China Collective Economy, 2021(31): 74-75.
Zhou Yuanyuan. Tax Payment, 201, 15(34): 19-21.
Han X. Fixed asset investment, financial institution loan and local government debt. China Collective Economy, 2021(08): 83-84.
Jiang Hongqing, Zhang Yanhui. An empirical study on the relationship between Chinese government debt and fixed asset investment [J]. Journal of China Ocean University (Social Science Edition), 2018(04): 79-87.
Downloads
Published
Issue
Section
How to Cite
