主题：【原创】奥巴马在动什么脑筋？ -- 晨枫

do not report it.

Secretly, digest those bad debts slowly. And pray that growth helps to solve this problem just like in the early 2000s.

In the long run, central gov. should allow local gov. to issue public debts, improve debt reporting transparency and establish credit rating agencies to play the monitoring role. All bank loans through gov. corporations will be counted as local gov. debts and thus endanger the provincial credit rating.

Historically, the best control over gov. debt is the debt market. Look at California--even democratic nation has local gov. deficit crisis, but California governor has to take unpleasant measures because otherwise nobody will buy CA bond.

Past experience proves that parliamentary competition is not a good control over gov. growth. Voting is also not effective in European context. But ruthless capital market can do the monitoring work.