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This chapter provides in-depth case studies of two large urban public libraries in the United States and how communities and libraries respond to reductions mandated by their funding agencies. Boston Public Library (BPL) and Los Angeles Public Library (LAPL) are both in communities that faced, and are still facing, recessionary budget pressures that began in 2007. Each community and library system has responded in different ways. In the recent past, in both Boston and Los Angeles, the Mayors and City Councils have supported libraries that have come to define the great cultural heritage and heart of these cities in the past. In 2010, however, both cities faced unheard of budget pressures. In Boston, there was a budget shortfall of $3.6 million. In Los Angeles, the budget shortfall began in 2007 due to huge increases in pension payments to city workers, particularly in the police and fire departments (City of Los Angeles Web site, 2011). In Boston, the community was told there could be branch closures. In Los Angeles, the budget shortfall created severe personnel, material, and service cuts. How each library and their leaders responded to those challenges differed. The level of support that their communities provided and the manner in which it was provided also differed. The two cases describe what can happen when budget crises occur and how libraries and their communities deal, or do not deal with them. The cases also reflect how the two library systems serve metropolitan areas with very distinct characteristics.

The increasingly important issues of transparency and citizen involvement have challenged public administrators in the budget process. This paper adopts a contingent valuation approach, surveying citizens in the city of Oshkosh, Wisconsin, on their preferred allocations of both a large city budgetary increase and a large city budget reduction. The results are then used to examine how citizen assessment of service quality and importance are related to their desired changes in net budget allocations. We believe that this is a major improvement in the contingent value approach, and can serve as a useful tool to public administrators for identifying the public’s budget priorities.

This paper reexamines the relationship between budget deficits and exchange rates by applying Hakkio’s (1996) model to seven Asian countries and eight Euro‐currency countries over the years from 1951 to 2001. Applying the Time‐Series Cross‐Section Regression with the Seemingly Unrelated Regression approach to data from 15 countries, the results indicate that because of the indirect effect of the expected inflation rate, the risk premium, and the expected return rate, currency values are inversely related to budget deficits. However, the empirical results also present evidence supporting the Ricardian Equivalence Proposition that there is no direct effect of budget deficits on exchange rates.

This chapter describes the shortfalls in local police budgets following the economic woes experienced by police departments during the Great Recession. Providing a timeline of external events impacting police budgets, in particular, the terrorist attacks on September 11, 2001 and the Great Recession, this chapter places these events since 2000 in an economic context. In addition, multiple sources, that is, interviews with police administrators, survey data, and news media content, are used to analyze police budget cuts. Most police administrators have already cut their budgets and report their jurisdictions anticipate more effects from the economic crisis. Significant reductions in police budgets, personnel and training are discussed. Both a police administrator and academic perspective of policing in an economic crisis are included in this chapter to better understand how recent budgets cuts affect the quality of policing.

The purpose of this paper is to analyse the pre-adoption phase of budgetary reform. Perspectives on the introduction and use of performance information in budgeting are obtained through interviews with current and former senior politicians and civil servants in Malta. Institutional theories are used to analyse the pressures that are perceived as promoting or inhibiting reforms.

The research followed a qualitative approach, using data gathered from documentary sources and empirical evidence collected from semi-structured interviews. Documentary sources were used to provide knowledge, obtaining an understanding of budgeting processes in the Maltese central government. Two categories of interviewee are identified in the analysis: political interviewees, consisting of 7 politicians; and administrative interviewees consisting of 13 senior civil servants.

The authors find that the current line-item budgeting system is deeply embedded into government practices. Malta’s membership of the European Union and its adoption of the Euro support coercive pressures for reductions in fiscal deficits. Normative pressures appear to be significant and may have a longer-term impact in promoting budgeting reform.

This paper contributes to existing performance-based budgeting literature by studying the pre-adoption phase which has rarely been the focus of previous studies. The study delves into the interaction between institutional and economic forces, an aspect which has been inadequately studied. The access to current and former Prime Ministers and other Ministers of State in this study is unusual. As such, the researchers have been able to obtain the perceptions of political decision makers in a way that might be more difficult to do in larger countries.

Much of the budgeting literature has focused on the questions of “how” budgets are prepared and “how” budget decisions are made. Minimal attention has been directed to “how” budgets are executed. This paper focuses on this issue with special emphasis on state government budget execution processes. The paper provides an overview of the similarities and differences of state and federal budget execution follows by an assessment of how state balanced budget requirements place special responsibilities on state budget offices to monitor “within” budget execution year expenditures and revenues. Actions which may be taken to insure that state budgets are balanced are discussed. These actions are enumerated and analyzed in terms of legislative and executive branch authority and responsibility shifts.

The transition to democracy and a free market economy in Hungary and other Central European nations has provided a unique opportunity to study rapid change in budget systems, institutions, and policies. This article examines budgeting in Hungary since 1989, beginning with an analysis of the comparative budgeting literature in an attempt to identify an appropriate theoretical framework for the study. Then it explores budgetary definition and measurement problems, debt and economic conditions, external actors and constraints on the budget, budget institutions and process, and the impact of Parliament on the budget and concludes by assessing the problems and prospects for Hungarian budgeting.

Federal budget problems have been significant national issues throughout the 1980s. One can hardly read a newspaper or listen to the broadcast media without reference to budget‐related topics. Public opinion supports this concern. Seventy‐six percent of those responding to a Gallup Poll taken prior to the 1988 presidential election indicated they consider reduction of the budget deficit the new administration's top priority. An additional 21 percent believed it should be a medium priority. A second poll taken in late January 1989 found that 59 percent of the respondents favored a constitutional amendment that would require Washington to balance the budget. In 1985, the figure was only 49 percent.

The chapter contains a methodology for formalized evaluation of the public fiscal policy from the view point of its impact on the financial stability of a national economy using the example of the Russian Federation and taking into account the fiscal multipliers’ effects. The significance of this problem is predetermined by recent trends in Russia’s development, when the national economy legs twice behind the world indicators. Taking into account the importance of the Russian budget system as a mechanism for the redistribution of gross domestic product (GDP), the financial stability safeguarding has been connected with the public finance sustainability and with the federal budget revenues and expenditures equilibrium. There are used the methodology of analysis of economic systems’ dynamic factors of financial stability as well as fiscal multipliers’ effects, aiming at managing national economy’s long-term development with the ultimate purpose to maintain the GDP growth rates. Taking into account the fiscal multipliers’ values, the model comparisons of the macroeconomics and budget parameters’ dynamics prove the necessity of the budget consolidation policy in 2018–2020 provided that the budget expenditures efficiency increases. The latter has been proved by modeling dependences represented by the fiscal multipliers’ effects in terms of national financial stability.

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