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>."1. Local govts are in heavy debt and sell land to pay back their debt."

What is the source of the debt, is it bonds, do they just run a deficit, something else?



> the source of the debt

paying gov't workers (as well as any outstanding debt from previously), services and such.

from what i heard, the local gov't is only paid some 40% of their required budget from the central gov't, and they have to make up the short-fall themselves.


Basically, and also hands are tied as to what taxes can be levied locally.




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