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The Credit Shortage Formation and Discipline Mechanism of Local Government in China
Fan Bonai  Long Haibo

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Abstract  

The credit shortage of local government has become the biggest obstacle in the construction of a social credit system . In order to effectively punish the credit shortage of local government ,it is necessary toinvestigateits formation mechanism .By applying theframework of credit shortage formation mechanism and the theory of dissipative structure , this paper analyzes the causes of credit shortage . The results of this analysis reveal that personal economic interests are the incentive of credit shortage formation and strong subject is its direct impetus . Public information asymmetry forms information gap , contributing to credit shortage . The lack of a credit culture leads to the deviation of administration value , and weak supervision leads to executive power abuse . When the total entropy of government reaches a certain threshold , the system will shift to a low- balance one ,resulting in loss of trust in the government .Basedon the study , this paper outlines a credit shortage discipline system from the perspective of management synergy , which involves opening information to the public ,evaluating the degree of credit shortage ,investigating accountability ,remedying faults ,encouraging credit adherence and reviewing complaint .

Key wordslocal government      credit shortage formation mechanism      discipline mechanism     
Received: 06 April 2009      Published: 17 June 2009
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https://www.zjujournals.com/soc/EN/     OR     https://www.zjujournals.com/soc/EN/Y2010/V40/I3/164
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