The constitutions of numerous states require municipalities to obtain electoral approval prior to issuing debt. When the electorate rejects debt proposals, however, officials may proceed with the proposed project through an alternative financing mechanism that does not require a vote. There are...

This essay draws on historical and current examples to examine the extent to which public creditors can enhance democracy by monitoring public officials in a manner that compansates for the failures of the government-debtor's constituents to monitor public officials. Creditors and constituents...