Study On The Local Government Financing Platform For Risk Prevention

The local government financing platform began to appear in 1980s,it has experienced the period of embryonic period,starting period,expansion period and swelling period.The local government financing platform plays an important role in promoting urbanization infrastructure construction,promoting the development of the industry and expanding domestic demand and so on.But since the outbreak of the global economic crisis in 2008,our country relaxed the conditions for the establishment of local government financing platform,and even encouraged local governments to raise funds through the platform to cooperate with the active fiscal policy which is adopted by the central government to cope with the crisis and to keep stable economic growth.Under this background,the development of local government financing platform is in disorder,appearing such as the corporate governance structure be not standardized,financing structure be not reasonable,scale of financing be too large and so on,they bring a big hidden danger to the stable operation of economy in our country.The problems and risks of local government financing platform should be highly valued by all levels of departments.The thesis do thorough research about the risk of local government financing platform from the following several aspects.Firstly,learning about the risk current situation by relevant literature information,there are financing risk,income risk and debt risk,which are due to the financing platform operation mode,and from the internal and external aspects of the platform to explore the factors which impact the risk.Secondly,the motivation of local government build excessively financing platform are being discussed by economic theory such as opportunism,principal-agent,game theory and cost benefit,as well as revealing the reasons about chaos being not effectively governed.Thirdly,the thesis through the platform risk conduction mechanism to reveal that how the platform risk turn to the uncontrolled risk which would imperil stable macroeconomic through the channels such as local government and bank.Finally,drawing lessons of preventing the local government debt risks from the developed countries,such as the United States,Japan and Britain,to provide macro,middle and micro policy recommendations for the risk prevention of local government financing platform.