Local Governments Debt

Living reference work entry
DOI: https://doi.org/10.1007/978-3-319-31816-5_2309-1
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Synonyms

Definitions

  • Debt is a liability in which a creditor has a claim on the debtor.

  • Debt instrument is a financial claim that requires payment(s) of interest and/or principal by the debtor to the creditor at a date, or dates, in the future.

  • Total gross debt (“total debt” or “total debt liabilities”) consists of all liabilities that are debt instruments.

  • Net debt is calculated as gross debt minus financial assets corresponding to debt instruments.

  • Domestic debts are debt liabilities owed by residents to residents of same economy.

  • External debts are debt liabilities owed by residents to nonresidents.

  • Interest is the cost (expense) that the debtor incurs for the use of the principal outstanding.

  • “Golden rule” of balanced budget prescribes that local authorities should never take on debt to cover current expenditure; it allows, or even...

Keywords

Local Government Public Debt Golden Rule Capital Budget Fiscal Federalism 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.
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References

  1. Dafflon B (2002) Local public finance in Europe: balancing the budget and controlling debt. Edward Elgar, Cheltenham-NorthamptonGoogle Scholar
  2. Fisher RC (2015) State and local public finance. Routledge, LondonGoogle Scholar
  3. Mikesell JL (2013) Fiscal administration: analysis and applications for the public sector. Wadsworth, BostonGoogle Scholar
  4. Musgrave RA (1959) The theory of public finance: a study in public economy. McGraw-Hill, New YorkGoogle Scholar
  5. Oates WE (1972) Fiscal federalism. Harcourt Brace Jovanovich, New YorkGoogle Scholar
  6. Shah A (2008) Local public financial management. The World Bank, Washington, DCGoogle Scholar

Authors and Affiliations

  1. 1.Research Centre in Political Science (CICP)University of MinhoBragaPortugal