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The Risk of Financial Collapse for Small Municipalities: The Example of Prameny

Publication at Faculty of Science |
2014

Abstract

The municipality of Prameny has recently become known in the media, due to its extreme financial debts and a lack of interest or involvement in local government, on the part of its residents. However, Prameny has not always had such problems; on the contrary, it was popular local spa resort at the beginning of the 20th century.

So what is behind the decline and general instability of Prameny? This article sheds light on the financial situation and the problem of indebtedness that threatens many small municipalities.