Purpose: This study aims to assess the sustainability of local governments in a highly centrally regulated fiscal model. Design/methodology/approach: This paper uses a novel approach, a broad data set of almost 3,200 local governments and network methods. This paper analyses financial data from...

In Hungary in the pre-crisis period, the bank sector-initiated private credit boom significantly contributed to the accumulation of economic imbalances. Nevertheless, before the 2008 crisis no special regulatory measure was taken to mitigate the foreign exchange lending to unhedged borrowers,...