At a gathering of residents of a rural settlement

At a gathering of residents of a rural settlement

At a gathering of residents of a rural settlement with a population of 78 people, it was decided to create a new municipality within its territory. The district administration canceled the decision of the meeting, motivating the decision by the lack of financial and economic resources and the small number of residents.
Analyze the situation. Are the interests of the local population not infringed in this case?

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