Research and its Theoretical Framework on Local Financial Risks

Abstract: This paper takes the local financial risk as the research object. The prevention of financial risks is a hot issue concerned by the Local Government Regulator, but from the current literature research, quantitative research is relatively rare. Based on the overview of local financial risk research, this paper constructs an analytical framework including the theoretical basis of local financial risk, multi-dimensional measurement of local financial risk, influencing factors of local financial risk and its economic effects, and provides theoretical support for effectively preventing local financial risk. Based on the above theoretical framework, this paper puts forward the research prospect of local financial risk.