Economic and Non-economic Determinants of Insolvency Risk management in Self-government Sector

The aim of this article is to draw attention to the nature of the insolvency risk of public entities, with particular emphasis on the local government sector, and to analyze and evaluate the instruments supporting the insolvency risk management. As a result of the research carried out, the research hypothesis, which has been positively verified, assumes that the specifics of the public entities are an important stimulant in the insolvency risk management, which can be efficiently managed through effective management and good governance.