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The Introduction of the Local Bankruptcy System and the Analysis of Policy Competition in Interest Groups

  • Korean Society and Public Administration
  • Abbr : KSPA
  • 2014, 25(2), pp.77-100
  • Publisher : Seoul Association For Public Administration
  • Research Area : Social Science > Public Administration

KIm, Hong Whan 1

1전국시도지사협의회

Accredited

ABSTRACT

The purpose of this paper is the analysis of points at issue that is the introduction of the local bankruptcy. The advocates for the local bankruptcy assert that most of local governments are in the condition of the fiscal crisis that is caused by the reckless fiscal management of local government heads. However, opponents of this policy issue contend the causes of local governments’ fiscal crisis that are unfunded mandated of central government and tax reduction of 2008. Accordingly, this paper analyzed basis of the arguments of both sides. The results of the analysis show the local governments’ fiscal crisis is not fiscal crisis of theoretical frame that is the over budget state persistingly but the crisis of local governments’ fiscal autonomy. Naturally, few local governments are in fiscal crisis that caused by reckless fiscal management.

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