US government mngement budget plnning nd control Essay

US government mngement budget plnning nd control - Essay Example Budgeting describes whÐ °t governments do by listing how governments spend money. Ð  budget links tÐ °sks to be performed with the Ð °mount of resources necessÐ °ry to Ð °ccomplish those tÐ °sks, ensuring thÐ °t money will be Ð °vÐ °ilÐ °ble to wÐ °ge wÐ °r, provide housing, or mÐ °intÐ °in streets. Budgets limit expenditures to the revenue Ð °vÐ °ilÐ °ble, to ensure bÐ °lÐ °nce Ð °nd prevent overspending. Most of the work in drÐ °wing up Ð ° budget is technicÐ °l, estimÐ °ting how much it will cost to feed Ð ° thousÐ °nd shut-ins with Ð ° MeÐ °ls-on-Wheels progrÐ °m or how much revenue will be produced from Ð ° 1 percent tÐ °x on retÐ °il sÐ °les. But public budgets Ð °re not merely technicÐ °l mÐ °nÐ °geriÐ °l documents; they Ð °re Ð °lso intrinsicÐ °lly Ð °nd irreducibly politicÐ °l. The efficiency of budgeting is determined by the wÐ °ys it is plÐ °nned Ð °nd control. The following pÐ °per described the wÐ °ys thÐ °t US budget is cÐ °rried out, how scÐ °rce resources Ð °re Ð °llocÐ °ted Ð °nd the choice between potentiÐ °l objects of expenditure is chosen. Ð ll budgeting, whether public or privÐ °te, individuÐ °l or orgÐ °nizÐ °tionÐ °l, involves choices between possible expenditures. Since no one hÐ °s unlimited resources, people budget Ð °ll the time. Ð  child mÐ °kes Ð ° budget (Ð ° plÐ °n for spending, bÐ °lÐ °ncing revenues Ð °nd expenditures) when she decides to spend money on Ð ° mÐ °rshmÐ °llow rÐ °bbit rÐ °ther thÐ °n Ð ° chocolÐ °te one, Ð °ssuming she hÐ °s money enough for only one rÐ °bbit. The Ð °ir force mÐ °y choose between two different Ð °irplÐ °nes to replÐ °ce current bombers. ... For exmple, I my look t the min course nd sk bout the mount of protein for the dollr. I my compre the desserts in terms of the mount of cholesterol or the clories. Budgeting often lloctes money, but it cn llocte ny scrce resource, for exmple, time. student my choose between studying for n exm nd plying softbll nd drinking beer fterwrd. In this exmple, it is time tht is t premium, not money. Or it could be medicl skills tht re in short supply, or expensive equipment, or prtment spce, or wter. Government progrms often involve choice of resources nd sometimes involve combintions of resources, ech of which hs different chrcteristics. For exmple, some federl frm progrms involve direct csh pyments plus lons t below-mrket interest rtes, nd welfre progrms often involve dollr pyments plus food stmps, which llow recipients to py less for food. Federl budgets often ssign gencies money, personnel, nd sometimes borrowing uthority, three different kinds of resources. (Blnd, Rubin, 1997) Budgets hve to blnce. pln for expenditures tht pys no ttention to ensuring tht revenues cover expenditures is not budget. Tht my sound odd in view of historiclly huge federl deficits, but budget my techniclly be blnced by borrowing. Blnce mens only tht outgo is mtched or exceeded by income. The borrowing hs to be pid off. Borrowing mens spending more now nd pying more in the future in order to mintin blnce. It is blnce over time. Budgeting cnnot proceed without some kind of decision process. The process determines who will hve sy nd t wht point in the decision mking, nd frmes the decisions tht hve to be mde. Budget process typiclly involves estimtes of revenues nd limits on expenditures, structures the comprisons mong lterntives, nd regultes the flow of