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Re-allocation: Aligning Political Priorities and Budgetary Funding

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This paper consists of five stand-alone reports on national practices for reallocationg budgetary resources. The Finnish report surveys the drastic budgetary measures taken in the early 1990s in response to the unprecedented economic shocks experienced. It highlights the various "emergency" budget packages that were developed in order to effectively deal with the situation. The German report outlines the government's Future Program 2000, which aims to consolidate government finances and improve the general conditions for business and individuals by means of sustainable tax relief measures. The Program incorporates strict spending limits. The Korean report focuses on how the government responded to the economic crisis of the late 1990s. The government had to reallocate massive amounts of funds, from a drastically shrunken revenue base, in order to implement the necessary economic restructuring measures. The Swiss report highlights the recently adopted constitutional amendment calling for a balanced budget, and the detailed schedule of measures taken in order to achieve the consolidation of the budget. The United States report focuses on the process adopted in order to close miliatary bases that were no longer needed, highlighting the politically neutral decision-making structure that was employed.

Page Count: 56
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Document Type: Review Article

Publication date: August 1, 2001

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