Fiscal Federalism On Finance And Budgeting In Essay

PAGES
2
WORDS
580
Cite

¶ … fiscal federalism on finance and budgeting in public organizations. Federalism is a political concept in which groups are bound together by a representative governing body. This is usually constitutionally divided between a central authority and political units; in the United States, the Federal Government and the 50 State Governments. The issue of federalism was actual controversial during America's revolutionary period when some feared that too much power at the Federal level would reduce State's rights. Certainly, after the Civil War the Federal Government increased its influence and power, particularly as transportation technology allowed for greater commerce and travel between States (Gerston, 2007). In its most basic form and application, fiscal federalism is a concept that is concerned with deciding which functions of government are best centralized and which are more appropriately placed in decentralized levels of government. As a study, it looks...

...

When looking at government, the concepts of fiscal federalism are both horizontal and vertical in nature. Horizontally, or across governmental platforms, fiscal issues focus on regional imbalances and competition. Vertically, fiscal relations refer to the Federal and State governments, and who controls the disposition of dollars. It is, in fact, this imbalance that defines most of the debate about fiscal federalism's role in the efficient use of funds for needed projects (Sharma, 2011).
When we consider public administration and its overall role in society, we find some dichotomies with the idea of fiscal federalism. One could convincingly argue that public administration has changed from a strict reliance on just the Federal system to one that is inclusive of the differing, and more egalitarian, needs of the States. Certainly, with…

Sources Used in Documents:

However, we now see some issues that are even more serious in States: California cancelled many of its summer educational programs and has a tremendous fiscal crisis; Washington has a budget deficit that has extended into education; and Medicaid spending has caused a fiscal crisis in Texas, New Jersey, and New York (State Budget Crisis Task Force, 2012). Additionally, it now appears that transferring of regulatory and fiscal authority to States sometimes causes better incentives to follow Federal policy, but all too often allows states to undercut economic policy and even adapt programs with a poorer design and execution than intended, often causing those programs to underperform (Super, 2005).

Health care is certainly a prime example of the disconnect between Federal and State governments. States and localities deliver, finance, administer and even monitor health systems. Any serious reform, though, must begin at the Federal level with Medicaid, which is hurting state budgets. In fact, most States lack the administrative tools and expertise to manage health care budgets at all, evidences by the tripling of State and local expenditures since 1980 (Pollack and Kilgore, 2009).

The problem is not just in the United States, but between Canada and her Provinces as well. The gist, for both countries, is about effectiveness of the various levels of government. To adequately fund programs that must, by their nature, be national in scope, the Federal government has the responsibility to its citizens at large. This can be accomplished by shifting spending to tax relief that stimulates business investment in all States, build more discipline into Federal programs that


Cite this Document:

"Fiscal Federalism On Finance And Budgeting In" (2012, September 21) Retrieved April 23, 2024, from
https://www.paperdue.com/essay/fiscal-federalism-on-finance-and-budgeting-75566

"Fiscal Federalism On Finance And Budgeting In" 21 September 2012. Web.23 April. 2024. <
https://www.paperdue.com/essay/fiscal-federalism-on-finance-and-budgeting-75566>

"Fiscal Federalism On Finance And Budgeting In", 21 September 2012, Accessed.23 April. 2024,
https://www.paperdue.com/essay/fiscal-federalism-on-finance-and-budgeting-75566

Related Documents

Foremost, when they occur, they generate massive financial setbacks for the institution implementing them as they generally require a large sum of money. "It is difficult to properly handle investments in public budgets. The rewards are spread out over an extended period of time while the cost or the pain of investing is immediate. That makes if difficult to finance public investments" (Penner, 2008). For the state and local governments

Fiscal Federalism To the Cato Institute: The Cato Institute policy statement on "Fiscal Federalism" is an excellent example of 'throwing the baby out with the bath water.' Yes, there may be unnecessary government bureaucracy involved in the awarding of federal grants to states. But the need for more efficiency does not mean that the entire program should be scrapped. During the recent 2008 recession, many states were cash-strapped and desperately needed funds

This program requires the states to create their own safety standards and to implement their rail safety oversight and audit programs in measuring compliance to that program. But the diversity of legal authorities, budgets and staff levels of oversight agencies would not allow this to happen smoothly (Caruso). The proposed Public Transportation Safety Program Act of 2009 hoped to authorize the Department of Transportation to establish the minimum safety standards

This could pose additional threats (Brimacombe, Antunes and McIntyre, 2001). There are also two arguments which reveal the overstatement of the estimations. The first refers to the fact that the tax structures are taken as constants, when in fact modifications could occur and result in the allocation of more funds to the health care sector. Then, the second argument is that the business, technology and administrative communities present the population

NCLB Mandates And The Governments That Impose Them No Child Left Behind (NCLB): The fiscal and budgetary impact on public organizations Traditionally, public education has been left to the governance of state and local authorities. However, in creating the mandate of No Child Left Behind (NCLB), the federal government extended unprecedented authority over the ability of states to set minimal standards for student achievement and what was considered a failing school. Although not

Political Science Canada: Comparative Politics Canada, like any other nation suffered terribly from the effects of the global financial crisis. The economic impacts from Global Financial Crisis were resolved through Canada's political and provincial administration structures. The Great Recession further intensified such trends towards elements of the precarious unemployment across Canadian provinces such as British Columbia mostly with certain population groups. This paper intends to illustrate how the global fiscal crisis has