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1. Iran’s New Budget Perpetuates Economic Challenges

Author:
Henry Rome
Publication Date:
01-2023
Content Type:
Policy Brief
Institution:
The Washington Institute for Near East Policy
Abstract:
The president is proposing de facto cuts to salaries and subsidies as well as more money for the military, while avoiding the tough reforms Iran’s economy needs. On January 11, President Ebrahim Raisi submitted his budget proposal to the Majlis for the Iranian year 2023/24. Drafted amid the most severe protests the Islamic Republic has faced since its establishment in 1979, the proposal includes no economic olive branches to the people and avoids structural reforms that could help rein in inflation and fuel growth.
Topic:
Economics, Reform, Budget, Democracy, and Energy
Political Geography:
Iran and Middle East

2. Budget Brief: Pradhan Mantri Awaas Yojana – Gramin

Author:
Neeha Susan Jacob, Anwesha Mallick, and Avani Kapur
Publication Date:
02-2023
Content Type:
Policy Brief
Institution:
Centre for Policy Research, India
Abstract:
Pradhan Mantri Awaas Yojana – Gramin (PMAY-G) is Government of India’s (GoI’s) flagship ‘Housing for All’ scheme. The scheme aims to provide monetary assistance for the construction of a pucca house with basic amenities to all rural houseless families and those living in dilapidated and kutcha houses. Using government data, this brief reports on trends in: ■ Allocations and cost estimates; ■ Releases and expenditures; ■ Target completion and physical progress of house construction; and ■ Payments to eligible citizens.
Topic:
Budget, Housing, and Public Spending
Political Geography:
South Asia and India

3. Budget Brief: Jal Jeevan Mission (JJM)

Author:
Neeha Susan Jacob, Sidharth Santhosh, and Avani Kapur
Publication Date:
02-2023
Content Type:
Policy Brief
Institution:
Centre for Policy Research, India
Abstract:
Jal Jeevan Mission (JJM) is Government of India’s (GoI’s) rural drinking water programme to provide functional tap connections to every household for drinking, cooking, and other domestic needs on a sustainable basis by 2024. It subsumes the National Rural Drinking Water Programme (NRDWP). This brief uses government data to report on: ■ GoI allocations, releases, and expenditures; ■ Component-wise trends; ■ Progress on coverage; and ■ Paani Samitis for Operations and Maintenance (O and M).
Topic:
Water, Governance, Budget, Rural, Sustainability, and Public Spending
Political Geography:
South Asia and India

4. Budget Brief: Samagra Shiksha

Author:
Mridusmita Bordoloi, Avani Kapur, and Sidharth Santhosh
Publication Date:
02-2023
Content Type:
Policy Brief
Institution:
Centre for Policy Research, India
Abstract:
Samagra Shiksha is Government of India’s (GoI’s) school education programme covering preprimary to higher-secondary levels. Launched in April 2018, the scheme is the primary vehicle to implement the provisions under the Right of Children to Free and Compulsory Education (RTE) Act, 2009, and the goals for school education envisaged under the National Education Policy (NEP), 2020. After a year of reopening of schools, post the COVID-19 pandemic, this brief uses government data to analyse Samagra Shiksha performance based on: ■ Trends in allocations, releases, and expenditures; ■ Component-wise approved budgets; ■ School enrolment trends pre and post COVID-19 pandemic; and ■ Learning outcomes and ICT infrastructure.
Topic:
Education, Governance, Budget, COVID-19, and Public Spending
Political Geography:
South Asia and India

5. Budget Brief: National Health Mission

Author:
Avani Kapur, Ritwik Shukla, and Sharad Pandey
Publication Date:
02-2023
Content Type:
Policy Brief
Institution:
Centre for Policy Research, India
Abstract:
National Health Mission (NHM) is Government of India’s (GoI’s) largest public health programme, which aims to achieve universal access to quality healthcare. It consists of two sub-missions: ■ National Rural Health Mission (NRHM); and ■ National Urban Health Mission (NUHM). This brief uses government data to analyse: ■ NHM finances, including proposed and approved budgets, releases, and expenditures; ■ Staff and bed availability; and ■ Outcomes.
Topic:
Health, Governance, Budget, and Public Spending
Political Geography:
South Asia and India

6. Budget Brief: Ayushman Bharat

Author:
Madhur Sharma, Rahul Das, and Avani Kapur
Publication Date:
02-2023
Content Type:
Policy Brief
Institution:
Centre for Policy Research, India
Abstract:
Ayushman Bharat, under the aegis of the Ministry of Health and Family Welfare (MoHFW), was launched by Government of India (GoI) on 23 September 2018. This brief uses government data to analyse the following components of the scheme: ■ Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB-PMJAY); ■ Establishment of Health and Wellness Centres (HWCs); ■ Ayushman Bharat Digital Mission (ABDM); and ■ Pradhan Mantri Ayushman Bharat Health Infrastructure Mission (PM-ABHIM).
Topic:
Health, Governance, Budget, and Public Spending
Political Geography:
South Asia and India

7. Budget Brief: Smart Cities Mission

Author:
Anwesha Mallick, Rahul Das, and Avani Kapur
Publication Date:
02-2023
Content Type:
Policy Brief
Institution:
Centre for Policy Research, India
Abstract:
Smart Cities Mission (SCM) is Government of India’s (GoI’s) urban rejuvenation mission launched on 25 June 2015. The Mission was initiated with the objective of providing core infrastructure, and decent quality of life to its citizens, along with a clean and sustainable environment. The brief uses government data to analyse the following components of the scheme: ■ Allocations and releases; ■ Utilisation of funds; ■ Project cost and completion rates; and ■ Funding through Public Private Partnership (PPP).
Topic:
Infrastructure, Governance, Budget, Smart Cities, and Public Spending
Political Geography:
South Asia and India

8. Budget Brief: Food Subsidy and the National Food Security Act

Author:
Jenny Susan John, Avani Kapur, and Ria Kasliwal
Publication Date:
02-2023
Content Type:
Policy Brief
Institution:
Centre for Policy Research, India
Abstract:
Food Subsidy is provided by the Government of India (GoI) for the supply and distribution of foodgrains and other essential commodities. With the passing of the National Food Security Act (NFSA) in 2013, nutritional security became a right. Under the Act, adequate quantities of quality food at affordable prices are to be provided to two-thirds of India’s population. This brief uses government data to analyse: ■ Allocations and releases under Food Subsidy; ■ Trends in foodgrain allocations, offtake, and distribution under NFSA and Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY); ■ Coverage under NFSA; and ■ Implementation under ‘One Nation, One Ration Card’ (ONORC).
Topic:
Governance, Budget, Food Security, and Public Spending
Political Geography:
South Asia and India

9. Budget Brief: Mission Saksham Anganwadi and Poshan 2.0

Author:
Avani Kapur, Tanya Rana, and Ritwik Shukla
Publication Date:
02-2023
Content Type:
Policy Brief
Institution:
Centre for Policy Research, India
Abstract:
In Financial Year (FY) 2021-22, the Government of India (GoI) restructured the Integrated Child Development Services (ICDS), POSHAN (Prime Minister’s Overarching Scheme for Holistic Nourishment) Abhiyaan, and the Scheme for Adolescent Girls (SAG) into Mission Saksham Anganwadi and Poshan 2.0, also known as Poshan 2.0. This brief uses government data to analyse: ■ Required funds, allocations, and releases; ■ Governance, including human resources; ■ Changes in coverage; and ■ Outcomes.
Topic:
Development, Governance, Budget, Children, and Public Spending
Political Geography:
South Asia and India

10. Budget Brief: Mahatma Gandhi National Rural Employment Guarantee Scheme

Author:
Ria Kasliwal, Mridusmita Bordoloi, and Avani Kapur
Publication Date:
02-2023
Content Type:
Policy Brief
Institution:
Centre for Policy Research, India
Abstract:
Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) is Government of India’s (GoI’s) flagship scheme to provide at least 100 days of guaranteed wage employment in a financial year to every rural household that demands work. Using government reported data, this brief reports on the trends for: ■ Allocations, releases, and expenditures; ■ Paid wages and delayed compensations; and ■ Employment demanded and provided.
Topic:
Governance, Budget, Employment, Rural, and Public Spending
Political Geography:
South Asia and India

11. Budget Brief: Pradhan Mantri Matru Vandana Yojana and Janani Suraksha Yojana

Author:
Avani Kapur, Tanya Rana, and Jenny Susan John
Publication Date:
02-2023
Content Type:
Policy Brief
Institution:
Centre for Policy Research, India
Abstract:
This brief reports on two maternity benefit schemes of the Government of India (GoI): a) Pradhan Mantri Matru Vandana Yojana (PMMVY) provides partial wage compensation to improve health-seeking behaviour of pregnant women and lactating mothers for two live births; and b) Janani Suraksha Yojana (JSY) incentivises institutional and safe delivery for reducing infant and maternal mortality. Using government data, this brief reports on: ■ Trends in finances; ■ Coverage and payments; and ■ Outcomes.
Topic:
Budget, Women, Public Spending, and Pregnancy
Political Geography:
South Asia and India

12. Budget Brief: Pradhan Mantri Poshan Shakti Nirman

Author:
Avani Kapur, Sharad Pandey, and Madhur Sharma
Publication Date:
02-2023
Content Type:
Policy Brief
Institution:
Centre for Policy Research, India
Abstract:
The National Programme of PM POSHAN, previously known as the National Scheme for Mid-Day Meals in schools (MDM), is a scheme to provide one hot cooked meal in government and government-aided schools, with an aim to improve the nutritional status of students. This brief reports on trends for PM POSHAN performance along the following parameters: ■ Past trends in allocations, releases, and utilisation; ■ Coverage and provision of meals to students; and ■ Management Information System (MIS) and Automated Monitoring System (AMS).
Topic:
Governance, Budget, Food Security, Public Spending, and Schools
Political Geography:
South Asia and India

13. The Evolution of India’s Welfare System from 2008-2023: A Lookback

Author:
Centre for Policy Research
Publication Date:
02-2023
Content Type:
Special Report
Institution:
Centre for Policy Research, India
Abstract:
In the 15 years that have gone by, India has seen a significant transition in the social sector, and lived through a pandemic. At the Accountability Initiative, Centre for Policy Research, we have tracked the provision of welfare services and entitlements since 2008, in-step with the country’s evolution over these years. The year 2023 marks a moment to pause and reflect for us as we celebrate our 15th anniversary, and the Centre for Policy Research reaches its milestone of 50 years. But, aside from our legacy of evidence-based knowledge sharing, this reflection is important in one more way. In 2024, India will choose a new government. A lookback on welfare spending and outcomes is an essential first step to understanding future priorities and pathways to development. Drawing from previous Union Budgets, this Special Brief will dive into six major aspects. Firstly, reviewing the sources of funding available with the government. Secondly, analysing trends in expenditures including social sector allocations for key ministries and schemes. Thirdly, the devolution of funds to states who are primary spenders on welfare services. Fourthly, unpacking social sector schemes over the years. Fifthly, analysing select outputs and outcomes over time. Lastly, we offer our own experience by providing a snapshot of the changes in government Management Information Systems which are critical to monitoring welfare schemes, among other aspects. For the purpose of this Special Brief, we are covering the period from 2009-2023. Actual Government of India (GoI) expenditures have been used till Financial Year (FY) 2020-21. For FY 2021-22, figures are Revised Estimates (REs) and Budget Estimates (BEs) for FY 2022-23.
Topic:
History, Governance, Budget, Welfare, and Public Spending
Political Geography:
South Asia and India

14. The rising cost of European Union borrowing and what to do about it

Author:
Gregory Claeys and Conor McCaffrey
Publication Date:
05-2023
Content Type:
Working Paper
Institution:
Bruegel
Abstract:
Debt issuance by the European Commission on behalf of the European Union has increased massively. Of the approximately €400 billion in outstanding EU debt as of May 2023, 85 percent has arisen from borrowing since 2020. Large-scale borrowing is expected to continue until 2026 to fund the remainder of NextGenerationEU, and concessional loans to support Ukraine. When these programmes were launched, interest rates were at historic lows – even negative for maturities below 10 years. However, interest rates rose sharply in 2022. Beyond the widespread rise in euro-denominated interest rates due to monetary tightening by the European Central Bank in response to the inflation surge, the EU has also faced a widening of the spread between its yields and those of major European issuers, including France and Germany. This widening is driven by a combination of market features, circumstantial factors and institutional features. The EU cannot affect the overall cyclical movement of interest rates and will have to learn to live with it, like sovereigns do. However, the European Commission should continue to try to narrow the spread with major European sovereigns by further developing the relevant market infrastructure and improving its issuance strategy. The Commission will not be able to do this alone. Institutional developments, including progress on the development of new own resources and a long-term substantial presence in the bond market, will be necessary to fully reap the benefits of EU borrowing. A large share of EU borrowing (around €421 billion in total by the end of 2026, in current prices) is intended to finance unprecedented non-repayable support: Recovery and Resilience Fund grants and additional funding for existing EU programmes under the EU budget. The interest costs associated with this part of the debt lie with the EU budget. Our estimates suggest that, because of the high current and expected levels of interest rates, this cost could be twice as high as what was initially estimated at the start of the EU’s 2021-27 budget cycle. As a result, because interest costs for the borrowing of the non-repayable support are accounted for under the EU budget’s ‘expenditure ceiling’, this will exert further pressure on the funding of important EU programmes, which are already affected by inflation. The EU should thus quickly review how interest costs are accounted for in its budget and financial framework.
Topic:
Debt, Budget, European Union, and European Commission
Political Geography:
Europe

15. Compliance Assessment of the FY 2023/24 Budget to Climate Change Interventions in the Third National Development Plan (NDPIII)

Author:
Advocates Coalition for Development and Environment (ACODE)
Publication Date:
01-2023
Content Type:
Research Paper
Institution:
Advocates Coalition for Development and Environment (ACODE)
Abstract:
The Intergovernmental Panel on Climate Change (IPCC) affirms that climate change is occurring in the world today. Climate change is a global development challenge with adverse effects manifested in different ways at national and local levels especially in the vulnerable least prepared countries like Uganda. It is associated with negative severe effects on human well-being and ecosystems which equally hinders the achievement of sustainable development and social equity goals hence becoming one of the drivers of exclusion. This makes it an urgent problem that requires global, regional and national efforts towards effective mitigation and adaptation responses. Swift effective response to climate change could significantly contribute to the attainment of the 17 Sustainable Development Goals (SDGs) while delayed action is predicted to have severe and irreversible consequences for natural and human systems. Uganda’s frameworks to sustainable development (Uganda’s Vision 2040, the NDP III, sectoral policies and plans) highlight climate change as an outstanding development challenge. This implies that the attainment of the country’s long-term development goals and the building of resilient communities that will mitigate and adapt to climate change largely depends on the significant allocation of financial resources to climate change interventions specified in the development frameworks. The NDPIII 2020/21-2024/25) not only integrates climate change across all its twenty (20) programmes but also provides for their strategic interventions and targets. This integration trickles down to the NDPIII Results Framework and Programme Implementation Action Plans (PEAPs) and is also supposed to fully cascade down to the national budget. This report presents the compliance assessment of the FY 2023/24 budget to climate change interventions in the third National Development Plan (NDPIII) based on ten (10) priority programmes selected due to their real or potential contribution to climate change and their strategic importance to the development process. Overall, the analysis revealed that the FY2023/24 Annual Budget (AB) to climate change interventions in NDP III is unsatisfactory at 55.35 percent which is slightly lower than last year’s compliance level of 64.7 percent. However, there were variations in the compliance levels of the different programmes. The programmes on Sustainable Development of Petroleum Resources programme (83.3%), and Sustainable Minerals Development programme (80%) had a satisfactory level of compliance. On the other hand, the programmes of Human Capital Development (62.5%), Integrated transport infrastructure and services (61.1%), and Tourism development (66.7%) had a moderately satisfactory level of compliance. Lastly, the programmes of Sustainable Urbanisation and housing (56.7%), Natural Resources, Environment, Climate Change, Water and Land Management (56.3%), Agro-industrialization programme (28%), Digital transformation (40%), Private Sector Development (0%) had a far below an unsatisfactory level of compliance (below 60%).
Topic:
Climate Change, Budget, and Sustainable Development Goals
Political Geography:
Uganda and Africa

16. Proposals for Reducing the Size and Cost of Running Government

Author:
Kojo Asante and David Asante Darko
Publication Date:
01-2023
Content Type:
Policy Brief
Institution:
Ghana Center for Democratic Development
Abstract:
Every other sector of the economy has had to incur substantive inconvenience or financial loss in efforts to return the sovereign debts to sustainable levels. Every other sector of the economy, except government itself. Against this backdrop, this paper reiterates some of the measures that have been proposed to reduce government spending and examines them in more detail. We delve into how the ministerial team might be reduced in size and thereby optimized to cut down government expenditure.
Topic:
Government, Budget, Finance, and Economy
Political Geography:
Africa and Ghana

17. The big squeeze: SPI Defence budget brief 2023–2024

Author:
Jennifer Parker, David Uren, Bec Shrimpton, and Rob Bourke
Publication Date:
05-2023
Content Type:
Special Report
Institution:
Australian Strategic Policy Institute (ASPI)
Abstract:
Defence has long been seen as a necessary burden on the federal budget. However, it is assuming the status of an urgent priority in the wake of the AUKUS agreement and the far-reaching reform urged by this year’s Defence Strategic Review (DSR). Both are responding to a much more challenging geopolitical environment and the realisation that Australia doesn’t have the luxury of time to achieve readiness. This year’s Defence budget reflects the urgency of the demands upon Defence to the extent that it includes the initial spending on the nuclear-powered submarines and the first response to the DSR, despite there being only very approximate estimates for how that spending is to be scheduled and for the savings that will pay for them.
Topic:
Security, Budget, and Defense Spending
Political Geography:
Australia and Australia/Pacific

18. Climate change adaptation relevance of Tanzania’s national budget

Author:
Noah Pauline, Peter Rogers, Edmund Mabhuye, Beatrice Sumari, Lucas Katera, Jamal Msami, Per Tidemand, and Esbern Friis-Hansen
Publication Date:
01-2023
Content Type:
Working Paper
Institution:
Danish Institute for International Studies (DIIS)
Abstract:
In Tanzania, climate change adaptation is financed by international development assistance and by nationally generated revenue. While international development assistance is registered by OECD and climate change adaptation relevance tagged by donors, the proportion of the nationally generated revenue that is climate change adaptation relevant is unknown. This DIIS Working Paper analyses the climate change adaptation relevance of the national budget (from 2014 to 2022), using the same methodology applied in a previous study (Yanda et al., 2013). The study further assesses the degree to which climate change adaptation financed is devolved to local government. The study finds that a disproportionately high proportion of climate adaptation finance is used at central government levels due to priorities being established at the ministry level. Moreover, the study finds that local governments lack discretion over climate change adaptation finance due to the country’s highly centralised policies, practices and procedures. Qualitative fieldwork indicates that nearly all climate change adaptation finance accessed by local governments comes with a central government tag (directive) on how to use it.
Topic:
Climate Change, Development, Environment, Poverty, Budget, and Inequality
Political Geography:
Africa and Tanzania

19. Existing Dispute: Does the new budget set the stage for a fresh phase of conflict in Iraq?

Author:
FARAS
Publication Date:
06-2023
Content Type:
Policy Brief
Institution:
Future for Advanced Research and Studies (FARAS)
Abstract:
On 12 June, 2023, Iraq's Council of Representatives approved a three-year budget (2023-2025) of 198.9 trillion dinars (USD 153 billion), including the budget for Iraq's Kurdistan region. This came around three months after the government filed the draft budget, making it the largest in Iraqi history.
Topic:
Development, Oil, Budget, Domestic Politics, Public Spending, and Parliament
Political Geography:
Iraq, Middle East, and Kurdistan Region of Iraq (KRI)

20. Baghdad and Erbil: A difficult road to settling differences

Author:
FARAS
Publication Date:
01-2023
Content Type:
Policy Brief
Institution:
Future for Advanced Research and Studies (FARAS)
Abstract:
The relationship between Baghdad and Erbil lately has reached a dead end. The rift between the Kurdistan Regional Government (KRG), the official executive body of the autonomous Kurdistan Region of northern Iraq, and the Federal Government of Iraq (FGI) has, for the past few months, entered a bottleneck driven by political turmoil and rotating governments. But efforts are being made on both sides to bridge differences. On January 11, a Kurdish delegation headed by Masrour Barzani visited the central government in Baghdad to discuss a number of disputed files. The group included several senior officials: ministers for electricity and finance; chief of the cabinet office; director of the office of the region's prime minister; ministers for planning and oil; economic advisors; general counsel; director of border control; and CEO of State Organization for Marketing of Oil (SOMO Oil).
Topic:
Oil, Treaties and Agreements, Budget, Gas, and Domestic Politics
Political Geography:
Iraq, Middle East, and Kurdistan Region of Iraq (KRI)

21. German Defense Spending: A Repeat of the Past Instead of a New Era

Author:
Christian Mölling, Torben Schütz, and Sören Hellmonds
Publication Date:
06-2023
Content Type:
Policy Brief
Institution:
German Council on Foreign Relations (DGAP)
Abstract:
The historic aspiration of Germany’s Zeitenwende – the new era in its foreign and security policy – will fail without the proposed funding. The growing tension between its demands for the Bundeswehr and missing resources is already driving Germany back to the old and shortsighted approach of cutting and stretching budgets and fragile procurement plans. The country needs a security decade: a ten-year systematic spending effort that closes its substantial security gap. Without sustainable funding for military security and other existential government tasks, Germany will continue to pose a risk to itself and others.
Topic:
Security, Defense Policy, Budget, and Defense Spending
Political Geography:
Europe and Germany

22. THE IMPACT OF PUNISHMENT, BUDGET SPENDING, AND SOCIAL STIGMATIZATION ON FISCAL EVASION: THE CASE OF KOSOVO

Author:
Mentor Gashi and Ramadan Beqiri
Publication Date:
03-2023
Content Type:
Journal Article
Journal:
Journal of Liberty and International Affairs
Institution:
Institute for Research and European Studies (IRES)
Abstract:
The purpose of this paper was to identify several factors that have an impact on tax evasion. Tax evasion is considered a problem for many different countries in the world, simultaneously attracting the curiosity of researchers. The study employed a convenience sampling technique and collected 221 questionnaires in Kosovo. Data were analyzed using descriptive statistical analysis, linear regression and are reflected in the matrix table of correlation coefficients. In this research, the statistical significance results appear the size of punishment, perception of spending of budget, and social stigma that has effected tax evasion. In this way, as lower the punishment for evaders effected non-encourage citizens to notify the tax evasion. Perception of non-spent properly of budget effected non-encourage citizens to notify the tax evasion. Also, when the lower was a social stigma for the evaders, it increased their willingness to tax evasion.
Topic:
Law Enforcement, Budget, Tax Systems, and Tax Evasion
Political Geography:
Eastern Europe and Kosovo

23. Russia’s Military Industry Forecast 2023-2025

Author:
Pavel Luzin
Publication Date:
04-2023
Content Type:
Special Report
Institution:
Foreign Policy Research Institute
Abstract:
After the start of Russia’s aggression against Ukraine on February 24, 2022, the arms expenditures and military budget of Russia skyrocketed and continue to grow for the foreseeable future. However, the military industry is under threat Despite the additional massive financial inflow. The military industry could not—with few exceptions—increase the production capacity significantly nor solve its other major problems of workforce deficit and annual net losses. Moreover, the Western embargo on the supply of components, industrial equipment, and technologies makes the further development of the Russian military industry doubtful. Even reverse engineering has become an impossible task. However, the Kremlin’s choice in this situation would be in favor of more arms expenditures and extending the practices of the command economy.
Topic:
Military Affairs, Budget, Industry, and Russia-Ukraine War
Political Geography:
Russia, Eurasia, and Ukraine

24. Russia’s Military Expenditure During Its War Against Ukraine

Author:
Julian Cooper
Publication Date:
06-2023
Content Type:
Commentary and Analysis
Institution:
Stockholm International Peace Research Institute
Abstract:
This SIPRI Insights paper is devoted to an analysis of military spending by the Russian Federation during its war against Ukraine, and the sources of funding for that spending. Russia’s total military expenditure has increased since its full-scale invasion of Ukraine in February 2022, but not dramatically. Despite difficulty in accessing information on budget spending, total budgeted military spending in 2023 can be estimated at 6648 billion roubles. This represents 4.4 per cent of forecast Russian gross domestic product. While military spending in early 2023 seemed to accelerate beyond the budgeted amount, the rate of spending can be shown to be similar to that in early 2022 and does not suggest any unusual surge. The Russian government is attempting to restrain spending on the war to minimize the domestic impact and enable the pursuit of policy goals set before the invasion. The Russian economy can afford this level of spending notwithstanding severe sanctions, while leaving open the possibility of increased war-related funding if the government considers it necessary in the future.
Topic:
War, Budget, Military Spending, and Russia-Ukraine War
Political Geography:
Russia, Europe, and Ukraine

25. “Production Is Deterrence”: Investing in Precision-Guided Weapons to Meet Peer Challengers

Author:
Stacie L. Pettyjohn and Hannah Dennis
Publication Date:
06-2023
Content Type:
Special Report
Institution:
Center for a New American Security (CNAS)
Abstract:
This report explores whether the fiscal year (FY) 2024 U.S. defense budget request for key conventional precision-guided munitions (PGMs) aligns with the 2022 National Defense Strategy (NDS) by prioritizing weapons needed for the “pacing challenge” China poses and dealing with the “acute threat” from Russia, while taking risk in lower priority areas. The FY24 presidential budget request builds on the shift that began in FY23 to support the NDS: increasing buys of key long-range and antiship missiles to prepare for a fight in the Pacific, starting to fill the cruise missile defense gap, bolstering production of the land-attack weapons needed in Europe, and test-running multiyear procurement and large lot procurement for key munitions to strengthen the defense industrial base. In the Department of Defense’s (DoD) budgeting process, ships, aircraft, and vehicles tend to be prioritized, leaving missiles and munitions with inadequate funding. Moreover, the Pentagon does not take a holistic approach to procuring key conventional PGMs, making it difficult to assess the joint portfolio. If the United States is going to effectively compete with China and Russia, that needs to change. To deter and—if deterrence fails—defeat China, the DoD needs large stockpiles of standoff missiles, maritime strike weapons, and layered air and missile defenses. The authors conclude that after years of underinvestment, the DoD is buying more long-range and medium-range missiles, which would be essential in a China war fight. While historically the Pentagon has overinvested in bombs and missiles to attack targets on the land and neglected antiship weapons, the FY24 budget saw a notable uptick in air-launched antiship weapons. For the past decade, the DoD has consistently invested in air defenses, but its purchases have focused on expensive ballistic missile defense interceptors, while neglecting cruise missile defenses. The FY24 budget reverses this trend. Additionally, the DoD is investing in PGMs to arm Ukraine and replenish American and allied stores of weapons that are needed to counter Russia. Except for surface-to-air missiles, the weapons for Ukraine are relatively short-range land-attack PGMs that U.S. forces do not need in the Indo-Pacific. A large portion of the funding for these weapons is coming from Ukraine supplemental appropriations, not the base defense budget. Supplemental appropriations are also resourcing significant investments in U.S. production lines, but the DoD has made only moderate progress rebuilding American stockpiles of the PGMs given to Ukraine.
Topic:
Security, Budget, Weapons, Deterrence, and Defense Spending
Political Geography:
China, North America, and United States of America

26. The Evolution of India’s Welfare System from 2008-2023: A Lookback

Author:
Accountability Initiative Staff
Publication Date:
02-2023
Content Type:
Special Report
Institution:
Centre for Policy Research, India
Abstract:
In the 15 years that have gone by, India has seen a significant transition in the social sector, and lived through a pandemic. At the Accountability Initiative, Centre for Policy Research, we have tracked the provision of welfare services and entitlements since 2008, in-step with the country’s evolution over these years. The year 2023 marks a moment to pause and reflect for us as we celebrate our 15th anniversary, and the Centre for Policy Research reaches its milestone of 50 years. But, aside from our legacy of evidence-based knowledge sharing, this reflection is important in one more way. In 2024, India will choose a new government. A lookback on welfare spending and outcomes is an essential first step to understanding future priorities and pathways to development. Drawing from previous Union Budgets, this Special Brief will dive into six major aspects. Firstly, reviewing the sources of funding available with the government. Secondly, analysing trends in expenditures including social sector allocations for key ministries and schemes. Thirdly, the devolution of funds to states who are primary spenders on welfare services. Fourthly, unpacking social sector schemes over the years. Fifthly, analysing select outputs and outcomes over time. Lastly, we offer our own experience by providing a snapshot of the changes in government Management Information Systems which are critical to monitoring welfare schemes, among other aspects. For the purpose of this Special Brief, we are covering the period from 2009-2023. Actual Government of India (GoI) expenditures have been used till Financial Year (FY) 2020-21. For FY 2021-22, figures are Revised Estimates (REs) and Budget Estimates (BEs) for FY 2022-23.
Topic:
Budget, Public Policy, and Welfare
Political Geography:
South Asia and India

27. Budget Brief: Pradhan Mantri Poshan Shakti Nirman

Author:
Avani Kapur, Sharad Pandey, and Madhur Sharma
Publication Date:
02-2023
Content Type:
Policy Brief
Institution:
Centre for Policy Research, India
Abstract:
The National Programme of PM POSHAN, previously known as the National Scheme for Mid-Day Meals in schools (MDM), is a scheme to provide one hot cooked meal in government and government-aided schools, with an aim to improve the nutritional status of students. This brief reports on trends for PM POSHAN performance along the following parameters: ■ Past trends in allocations, releases, and utilisation; ■ Coverage and provision of meals to students; and ■ Management Information System (MIS) and Automated Monitoring System (AMS).
Topic:
Education, Budget, and Students
Political Geography:
South Asia and India

28. Budget Brief: Mission Saksham Anganwadi and Poshan 2.0

Author:
Avani Kapur, Tanya Rana, and Ritwik Shukla
Publication Date:
02-2023
Content Type:
Policy Brief
Institution:
Centre for Policy Research, India
Abstract:
In Financial Year (FY) 2021-22, the Government of India (GoI) restructured the Integrated Child Development Services (ICDS), POSHAN (Prime Minister’s Overarching Scheme for Holistic Nourishment) Abhiyaan, and the Scheme for Adolescent Girls (SAG) into Mission Saksham Anganwadi and Poshan 2.0, also known as Poshan 2.0. This brief uses government data to analyse: ■ Required funds, allocations, and releases; ■ Governance, including human resources; ■ Changes in coverage; and ■ Outcomes
Topic:
Governance, Budget, Public Policy, Human Resources, and Child Development
Political Geography:
South Asia and India

29. The Potential Impact of Ukrainian Accession on the EU’s Budget

Author:
Michael Emerson
Publication Date:
09-2023
Content Type:
Special Report
Institution:
Centre for European Policy Studies (CEPS)
Abstract:
If hypothetically Ukraine was already today a full EU Member State, it could be benefitting from around EUR 18-19 billion of receipts from the EU budget, net of contributions – i.e. roughly within the range of Poland and Romania scaled to fit Ukraine. At current rates, this would mean an increase in GNI-based contributions by all Member States of around 10 %, with only Spain changing from a (small) net beneficiary to a (small) net payer. However, this is only a simple ‘static’ reference number for a more complex and realistic assessment with many ‘dynamic’ factors that could reduce this amount by the time Ukraine might actually accede over the course of the next decade. These can include catching up to the relative prosperity of Poland and Romania, possibly making budgetary room for poorer new Member States, and control valves with capping mechanisms for budget spending on cohesion and agriculture. Both capping mechanisms would need reform, but there is room for negotiation of mutually acceptable outcomes. It is sometimes rumoured that the Ukraine bill would turn all of today’s net beneficiaries into net payers to the EU budget. Our calculations show that this speculation, or maybe disinformation, is absolutely unfounded. The EU’s proposed new EUR 50 billion Ukraine Facility for 2024 to 2027, averaging EUR 12.5 billion per year in grants and loans, is already not so far behind the static estimate for full membership. There are further huge uncertainties affecting the outcome – how the war may end, how far donors and investors other than the EU will contribute to reconstruction, and the idea of ‘Making Russia pay,’ given most of its frozen EUR 300 billion assets are held in the EU. Overall, the budgetary aspect of Ukraine’s possible accession looks relatively manageable, compared to other more intractable political, economic, demographic, and security issues. Three recommendations are presented, including on the need for the European Commission to inform public debate along the lines of the present paper to avoid speculation over exaggerated concerns.
Topic:
Budget, European Union, Regional Integration, and Russia-Ukraine War
Political Geography:
Europe and Ukraine

30. Financing Women, Peace and Security: A Review of WPS National Action Plans from 2005 to 2022

Author:
Our Secure Future
Publication Date:
05-2023
Content Type:
Policy Brief
Institution:
Our Secure Future
Abstract:
This publication is a policy brief accompanying an upcoming in-depth report on financing Women, Peace and Security (WPS) National Action Plans (NAP). This brief provides an overview of WPS NAPs, as well as the current state of funding for WPS NAP implementation, and a breakdown of this data by region. Stay tuned for the upcoming report to learn more about financing WPS NAPs. Key Findings: • As of early 2023, 31 countries out of 101 have estimated the amount of money required to implement WPS NAP activities. Available information does not illuminate whether these funds are secured. • More than 50 WPS NAPs out of 101 mention that a budget is needed to implement WPS activities, but do not include specification of funding. • The majority of WPS NAPs with budget estimates identify responsible parties for activity implementation, including ministries and/or government institutions, predominantly related to foreign affairs and gender equality.
Topic:
Security, Foreign Policy, Budget, Women, Finance, and Peace
Political Geography:
Global Focus

31. Environmental Protection and Climate Change Budgets of Metropolitan Municipalities: An Assessment For 2021

Author:
Public Expenditures Monitoring Platform
Publication Date:
01-2022
Content Type:
Special Report
Institution:
Turkish Economic and Social Studies Foundation (TESEV)
Abstract:
It is argued that cities can fulfill significant functions in the fight against global warming and climate crisis, and it is stated that for this reason, they can play a pioneering role in both reducing greenhouse gases and adapting to the changing climate. Approximately 600 cities in Europe and 9,400 cities around the world have begun to implement mitigation and adaptation measures against climate change at different levels. It is known that big cities, including many metropolitan municipalities from Turkey, cooperate at an international level for the purpose of mitigation and adaptation. The primary aim of this study is to classify1 the environmental protection and climate change (EPCC) goals stated in 2021 performance programs of 14 metropolitan municipalities (MM) and their affiliates (i.e. AF, water and sewerage administrations and transportation departments) with the highest expenditure under the goals of mitigation, adaptation, waste and other environmental goals, and to examine the budgets allocated to these goals. Also, in this review, the pros and cons of the budgets allocated for the mitigation, adaptation and waste related goals of 14 metropolitan municipalities will be evaluated together, and concrete policy recommendations will be developed as to the areas where the allocated budgets should be increased/decreased.
Topic:
Climate Change, Environment, Budget, and Cities
Political Geography:
Europe, Turkey, Middle East, and Mediterranean

32. The cost of Defence ASPI defence budget brief 2022–2023

Author:
Marcus Hellyer and Ben Stevens
Publication Date:
06-2022
Content Type:
Policy Brief
Institution:
Australian Strategic Policy Institute (ASPI)
Abstract:
Shortly before the recent election, the previous government released a defence budget that continued its record of delivering the funding it promised in the 2016 Defence White Paper (DWP) and subsequent 2020 Defence Strategic Update (DSU). This year, the consolidated defence funding line (including both the Department of Defence and the Australian Signals Directorate) is $48.6 billion, which is 2.11% of GDP based on the Budget papers' estimates of GDP. That funding represents a very substantial nominal growth of 7.4%. It's the 10th straight year of real growth, but with inflation running hot, it's hard to determine a precise percentage; we've estimated it at 3.8% based on the Budget papers, but, if inflation stays around 5%, the real growth figure will be less. That will hurt Defence. Just as inflation eats into Australian families' budgets, it's eroding Defence's buying power.
Topic:
Defense Policy, Budget, Defense Spending, and Military
Political Geography:
Australia

33. Achieving a Safer U.S. Nuclear Posture

Author:
Joseph Cirincione
Publication Date:
02-2022
Content Type:
Policy Brief
Institution:
Quincy Institute for Responsible Statecraft
Abstract:
• U.S. nuclear posture is on a dangerous path that imperils national security and expends far too many resources. It is not a rational response to external threats but is driven primarily by domestic factors including a hubristic strategy of nuclear supremacy, partisan politics, and entrenched arms lobbies with formidable influence in the Pentagon and Congress. • A safer nuclear policy entails, among other steps, reducing the number of deployed strategic warheads by one-third, to about 1,000, taking nuclear-armed missiles off hair-trigger alert, embracing no first use or sole purpose doctrines, and requiring an additional senior official to authorize launch. Pacts such as AUKUS that encourage the spread of nuclear weapons technology must also be rethought. • If implemented, these policies will greatly reduce risk while maintaining deterrence; they will also lead to significant savings in the national security budget. A majority of independent experts believe that U.S. national security objectives can be met at far lower levels and with a safer nuclear posture, saving hundreds of billions of dollars over the next few decades. • Many of these recommendations can be implemented even if the Biden administration’s upcoming Nuclear Posture Review proves disappointing. The president retains substantial policy and budgetary options for reducing the risk of nuclear war and the cost of nuclear deterrence.
Topic:
Defense Policy, National Security, Nuclear Weapons, Budget, and Defense Spending
Political Geography:
North America and United States of America

34. Amendments in the 2022 State Budget of Azerbaijan: Impacts and Perspectives

Author:
Nigar Islamli
Publication Date:
07-2022
Content Type:
Working Paper
Institution:
Center for Economic and Social Development (CESD)
Abstract:
After the global pandemic, rising global demand, as well as the impact of geopolitical and military tensions, have led to a significant rise in the prices of major energy carriers in recent years. In the context of this pandemic, the recession in the country's economy in 2020 was replaced by the process of rapid economic recovery in 2021. The significant increase in oil prices in Azerbaijan had a positive effect on the nominal amount of GDP, although the increase in nominal GDP was mainly due to the oil sector, the real growth was possible almost due to non-oil sectors. The economic situation for the past period of the current year, the medium-term socio-economic forecast indicators, and the performance of budget revenues more than expected made it necessary to revise the state budget for 2022.
Topic:
Oil, Budget, GDP, Economy, and COVID-19
Political Geography:
Azerbaijan

35. Assessment of Azerbaijani 2022 State Budget in Context of COVID-19

Author:
Narmina Gasimova
Publication Date:
01-2022
Content Type:
Working Paper
Institution:
Center for Economic and Social Development (CESD)
Abstract:
The budget plan for 2022 envisages the primary goals for insurance of the economic growth in the upcoming year, emphasizing economic diversification as one of the key targets. Followed by the restoration of the liberated territories and recovery after the negative impact of the pandemic, the plan outlines a detailed analysis of fiscal policy forecasted for the year. An overview of the planned budget envisages the reliance of the economy on oil reserves and transfers obtained throughout it. To that end, approaches for further policies cover the creation of a favorable environment for the gradual replacement of oil revenues with non-oil revenues.
Topic:
Oil, Budget, Economic Growth, Diversification, COVID-19, and Revenue
Political Geography:
Azerbaijan

36. OTAN, España y el FrenteSur. Análisis geopolítico tras cuarenta años de experiencia compartida

Author:
Emily E. Arnold-Fernández
Publication Date:
06-2022
Content Type:
Journal Article
Journal:
Journal on International Security Studies (RESI)
Institution:
International Security Studies Group (GESI) at the University of Granada
Abstract:
Cuatro décadas es tiempo suficiente para realizar un balance de la relación de España con la OTAN, como miembro de pleno derecho.Balance de particular interés en este periodo en el que hemos asistido a tantos cambios en el contexto internacional; cambios que han afectado a nuestra percepción de amenazas y a los modos de hacerles frente.Este trabajo analizará desde dos enfoques la experiencia española como miembro de la Alianza y los distintos estados de la relación, tanto con la Organización, como con su principal socio. El primero tomará en consideración los condicionantes domésticos de cada una de las partes. El segundo, atenderá a los condicionantessistémicos que tanto han variado desde la época de la guerra fría. Particular atención merecerá el siempre mejorable enfoque del denominado “flanco Sur”, con la vista puesta en la elaboración del nuevo concepto estratégico de la OTAN. Al respecto, se atenderá a las distintas sensibilidades dentro de la Alianza y la reivindicación de un trato análogo al recibido por el tradicional “flanco Este”. El contenido del documento de reflexión para la elaboración del nuevo concepto estratégico OTAN respecto a la proyección sur, puede implicar un cambio en la naturaleza de la relación con esta zona de operaciones. La metodología de investigación de basará en una serie de entrevistas sobre la base de una encuesta previa a oficiales españoles con experiencia práctica en la OTAN, tanto en operaciones como en diversos puestos directivos. Se incluirán también elementos de la consideración norteamericana respecto a la participación española. Combinados los resultados con el apoyo científico de académicos, foros de defensa y contribuciones de think tanks, se extraerán las conclusiones y recomendaciones para una mayor y mejor comprensión en los próximos cuarenta años.
Topic:
Security, NATO, Budget, and Defense Spending
Political Geography:
Europe and Spain

37. Precision and Posture: Defense Spending Trends and the FY23 Budget Request

Author:
Stacie L. Pettyjohn and Hannah Dennis
Publication Date:
11-2022
Content Type:
Special Report
Institution:
Center for a New American Security (CNAS)
Abstract:
This report examines the fiscal year (FY) 2023 defense budget request and assesses whether it sufficiently resources what was known of the Biden administration’s national defense strategy when the budget was released. Because of the delay of the full, unclassified version of the strategy, the analysis focuses on two factors—high-end munitions stockpiles and overseas posture—that past studies have indicated are critical for strengthening deterrence against China and Russia in the near term. This report concludes that while the FY23 request makes some strides on both issues, more must be done today to improve the United States’ chances of deterring and, if necessary, defeating the adversary tomorrow. The ongoing war in Ukraine has elevated the issue of munitions stockpiles to front-page news as both Ukrainian and Russian forces continue to consume high volumes of key weapons. We examine the sufficiency of existing critical conventional munitions stockpiles and the future procurement plans to meet the threats posed by China and Russia. We find that while the services have shifted to investing in longer-range weapons, they are still underinvesting in the specific capabilities, in particular anti-ship and area-effects weapons, that would be needed to counter China in a variety of scenarios. Moreover, the Department of Defense (DoD) is not buying enough of these weapons to blunt and defeat an initial invasion, and it certainly is not stockpiling enough precision-guided munitions (PGMs) for a protracted war.
Topic:
Foreign Policy, Budget, Defense Spending, and Russia-Ukraine War
Political Geography:
Russia, China, and United States of America

38. China’s 2022 Defense Budget: Behind the Numbers

Author:
Amrita Jash
Publication Date:
04-2022
Content Type:
Journal Article
Journal:
China Brief
Institution:
The Jamestown Foundation
Abstract:
At the fifth session of the 13th National People’s Congress in early March, the Chinese government announced a defense budget of 1.45 trillion yuan (about $229 billion) for fiscal year 2022, which is a 7.1 percent year-on-year increase from 2021 (Xinhua, March 5). After years of double digit increases in the 2000s and early 2010s, this is the seventh consecutive year that China’s defense spending has grown by single digits. Nevertheless, China has moved up in the global defense spending rankings, and is now second only to the United States in expenditures. In the Indo-Pacific region, China’s military spending increasingly dwarfs that of its neighbors. For example, China now spends more on its military than Japan, South Korea, the Philippines, and India combined (Stockholm International Peace Research Institute [SIPRI], April 2021). For instance, at $229 billion, China’s military spending is three times that of India’s $70 billion figure for 2022 (The Economic Times, March 5). An increase in Beijing’s defense budget raises red flags for China’s neighbors and the U.S. given the growing tensions over Taiwan, the South China Sea, the East China Sea, and the Sino-Indian border dispute in the Himalayas. However, in Chinese eyes, as Beijing-based military expert Wei Dongxu argues, the budget is “proper and reasonable” (Global Times, March 5).
Topic:
Defense Policy, Military Affairs, Budget, and Transparency
Political Geography:
China and Asia

39. How Italians View Military Spending

Author:
Pierangelo Isernia, Rossella Borri, and Sergio Martini
Publication Date:
04-2022
Content Type:
Commentary and Analysis
Institution:
Istituto Affari Internazionali
Abstract:
On 16 March, a sweeping majority in the Italian Chamber of Deputies approved order 9/3491-A/35 committing the Italian government to raise the defence budget to 2 per cent of GDP.[1] Taken in the wake of the Russian invasion of Ukraine, this decision strengthens Italy’s adherence to the commitment made by NATO countries in 2004 and reiterated at the 2014 NATO summit in Newport, Wales. The announcement comes after half a decade of increasing Italian defence spending. Having decreased from 1.5 per cent of GDP in 2010 to 1.2 per cent in 2015, Italy’s military expenditures started to grow again, reaching 1.6 per cent of GDP in 2020. This figure is still considerably lower than the UK’s 2.2 per cent or France’s 2 per cent, but higher than Germany’s and Spain’s 1.4 per cent.[2] To understand the broader context within which Italy has decided to renew its commitment to the NATO target, Italian public opinion should be factored in. In this respect, opinion polls conducted prior to the war in Ukraine can shed some light on Italian attitudes toward defence spending in general and the 2 per cent NATO pledge specifically.
Topic:
Public Opinion, Budget, and Military Spending
Political Geography:
Europe and Italy

40. The Unprecedented Federal Fiscal Policy Response to the COVID-19 Pandemic and Its Impact on State Budgets

Author:
Phil Dean
Publication Date:
01-2022
Content Type:
Journal Article
Journal:
California Journal of Politics and Policy
Institution:
Institute of Governmental Studies, UC Berkeley
Abstract:
In response to the COVID-19 pandemic, within a year’s time span, the federal government enacted unprecedented fiscal response bills totaling over $5 trillion. This response amount equates to about 25% of U.S. GDP in 2020. These massive allocations funded direct pandemic public health responses, along with vast fiscal support for households, firms, and state and local governments. This enormous response supported state and local government budgets both indirectly and directly, resulting in a marked budgetary shift from anticipated shortfalls to significant revenue growth and inflationary budget pressures.
Topic:
Budget, Fiscal Policy, Pandemic, and COVID-19
Political Geography:
North America and United States of America

41. Don’t Go Chasing Windfalls: California’s 2021-2022 Budget

Author:
Brian DiSarro and Wesley Hussey
Publication Date:
01-2022
Content Type:
Journal Article
Journal:
California Journal of Politics and Policy
Institution:
Institute of Governmental Studies, UC Berkeley
Abstract:
Amidst a global pandemic, a gubernatorial recall election, and a shaky economy, California had one of its best budget years in recent memory. Flush with cash, the state was able to make unprecedented investments in education, health, and social welfare programs, provide direct stimulus payments to many California residents, and still set aside money in its rainy-day fund. Governor Newsom handily defeated the recall effort, and the budget outlook for 2022 looks bright. 2021 was a tumultuous year, but California is proving that it’s once again the “Golden State”.
Topic:
Budget, Fiscal Policy, Pandemic, and COVID-19
Political Geography:
California, North America, and United States of America

42. Colorado’s Political Climate, Economy, and Budget during COVID-19

Author:
Michael Berry
Publication Date:
01-2022
Content Type:
Journal Article
Journal:
California Journal of Politics and Policy
Institution:
Institute of Governmental Studies, UC Berkeley
Abstract:
The COVID-19 pandemic was a monumental exogeneous shock to the Colorado economy. Prior to the pandemic’s onset the state reported historically low unemployment alongside robust growth in personal income levels and state revenue. While the negative economic effects of the pandemic were sharp, the state’s economic recovery is outpacing what many economists previously projected. The General Assembly was compelled to impose major cuts to last year’s budget, many of which were restored with the enactment of the budget for the 2021–2022 fiscal year. The General Fund budget of $13.6 billion proposed by Democratic Governor Jared Polis represented a substantial spending increase of 20 percent from the prior year. The enacted $13.1 billion General Fund budget received nearly unanimous approval among Democrats and modest Republican support. Policymakers ultimately sought to balance competing priorities across many issue areas, while also preparing for the future with a major investment of $1.5 billion to the state’s reserve fund.
Topic:
Economics, Governance, Budget, Pandemic, and COVID-19
Political Geography:
North America, Colorado, and United States of America

43. The Year Without Tourism: Hawai‘i’s FY2022 Pandemic Budget

Author:
Colin D. Moore
Publication Date:
01-2022
Content Type:
Journal Article
Journal:
California Journal of Politics and Policy
Institution:
Institute of Governmental Studies, UC Berkeley
Abstract:
Hawai‘i’s economy was devastated by the COVID-19 pandemic. The effective closure of the tourism industry created an unemployment crisis and led to a dramatic decline in tax revenues. Nevertheless, Hawai‘i managed to avoid mass layoffs of public employees and draconian cuts in public services because of federal relief funds. The $15.9 billion budget for FY2022 restored funding to most departments, but the state’s dependence on the visitor industry has left it particularly vulnerable to future pandemic travel restrictions.
Topic:
Tourism, Budget, Fiscal Policy, Pandemic, and COVID-19
Political Geography:
North America, Hawaii, and United States of America

44. Montana’s Hard Right Turn

Author:
Paul Haber
Publication Date:
01-2022
Content Type:
Journal Article
Journal:
California Journal of Politics and Policy
Institution:
Institute of Governmental Studies, UC Berkeley
Abstract:
Budgets, combined with tax policy, provide rich evidence of the applied values of legislative bodies and executives. This paper evaluates budget and tax legislation in Montana that resulted from the 67th legislative session in 2021 that set policy for the 2023 biennium. Montana, whose political complexation has long been purple, moved unambiguously red in the elections of November 2020. This paper speaks to how this changed things in Montana's public policy, in the areas of budget and tax, and a series of other policy areas. One of the more notable findings is that while budget and tax certainly shifted right with the dominance of the Republican Party that itself has moved further right than where it was as recently as 2019, it did not move as far right as many observers had anticipated. The explanation provided here is that this was largely a result of the large infusion of federal COVID relief funds.
Topic:
Governance, Budget, Tax Systems, and Partisanship
Political Geography:
North America, United States of America, and Montana

45. New Mexico’s Box of Pandoras

Author:
Kim Seckler
Publication Date:
01-2022
Content Type:
Journal Article
Journal:
California Journal of Politics and Policy
Institution:
Institute of Governmental Studies, UC Berkeley
Abstract:
In the spring of 2020, the global coronavirus pandemic brought deadly disease to New Mexico, a state already struggling with inadequate health care, vulnerable populations and an unreliable state revenue base. A strong executive and mostly willing legislature met multiple times in multiple special sessions to reduce budgets, allocate federal funds, and shore up public finances. They also had to deal with social and cultural fights aggravated by strict public health orders and plunging revenues. By the close of 2020, the state was slowly regaining its fiscal footing and physical health, though the underlying problems of inadequate health care, educational and economic inequality, and a budget overly reliant on extractive industries remain. As a result of the 2020 general election, the public officials chosen to resolve these issues are more likely to be progressive Democrats, more likely to be women, and more demographically reflective of the majority-minority state they call home.
Topic:
Governance, Budget, Public Health, Pandemic, and COVID-19
Political Geography:
North America, United States of America, and New Mexico

46. Oregon 2020-21: Budgeting During COVID

Author:
Mark Henkels and Brent S. Steel
Publication Date:
01-2022
Content Type:
Journal Article
Journal:
California Journal of Politics and Policy
Institution:
Institute of Governmental Studies, UC Berkeley
Abstract:
Oregon in 2020 and 2021 resembled other Western states: crisis on crisis. COVID, the COVID recession, forest fires and ice storms, and polarized politics dominated the news. Despite these challenges, the state’s fiscal situation turned out very positively. President Biden’s American Rescue Plan and the bipartisan Infrastructure Investment and Jobs Act signed in November 2021 provided many billions to the state for 2021 and will cover diverse infrastructure needs over the next five years. This paper analyzes the surprisingly strong general fund and federal fund situations created by the COVID era and considers the political implications of the state’s fiscal situation.
Topic:
Budget, Fiscal Policy, Pandemic, and COVID-19
Political Geography:
North America, United States of America, and Oregon

47. Budgeting in Pandemic Times: Shutdowns, Social Unrest, and Spending in Washington State

Author:
Michael Artime, Erin Richards, and Francis Benjamin
Publication Date:
01-2022
Content Type:
Journal Article
Journal:
California Journal of Politics and Policy
Institution:
Institute of Governmental Studies, UC Berkeley
Abstract:
The citizens of State of Washington have, like individuals throughout the country, had to navigate unprecedented personal and economic hardship. The supplemental budget passed by the legislature during the 2021 legislative session represents an attempt to address some of the issues that presented as an outgrowth of the pandemic. However, the legislature also considered significant policy changes with respect to, among other items, the environment, taxation, and education. These policy debates were, at times, rather contentious and are indicative of the partisan fault lines existing throughout the state.
Topic:
Budget, Fiscal Policy, Pandemic, and COVID-19
Political Geography:
Washington, North America, and United States of America

48. Time for a Significant Reimagining of Government in Wyoming?

Author:
Robert Schumann and Jeffrey Jensen
Publication Date:
01-2022
Content Type:
Journal Article
Journal:
California Journal of Politics and Policy
Institution:
Institute of Governmental Studies, UC Berkeley
Abstract:
Despite $430 million in spending reductions and the loss of 324 state positions, Wyoming’s 2021 supplemental budget reflected an improved pandemic-driven economic climate. Recent budgetary optimism was attributed to increased performance in energy production and pricing, pent up demand for tourism and travel, and higher than expected sales tax revenues. Continued reliance on Wyoming’s Permanent Mineral Trust Fund, and the state’s attachment to the remainder of its boom-and-bust revenue structure, left surprisingly little appetite for discussions of revenue diversificatioan. Instead, “right-sizing” state government to fit the current revenue stream seems more consistent with the spirit of the times.
Topic:
Economics, Budget, Fiscal Policy, Pandemic, and COVID-19
Political Geography:
North America, United States of America, and Wyoming

49. Istanbul Journal of Economics: Volume 72 Issue 1

Author:
Gökhan Karabulut
Publication Date:
01-2022
Content Type:
Journal Article
Journal:
Istanbul Journal of Economics
Institution:
Istanbul University Faculty of Economics
Abstract:
Istanbul Journal of Economics-İstanbul İktisat Dergisi is an open access, peer-reviewed, scholarly journal published two times a year in June and December. It has been an official publication of Istanbul University Faculty of Economics since 1939. The manuscripts submitted for publication in the journal must be scientific and original work in Turkish or English. Being one of the earliest peer-reviewed academic journals in Turkey in the area of economics, Istanbul Journal of Economics-İstanbul İktisat Dergisi aims to provide a forum for exploring issues in basicly economics and publish both disciplinary and multidisciplinary articles. Economics is the main scope of the journal. However, multidisciplinary and comparative approaches are encouraged as well and articles from various social science areas such as sociology of economics, history, social policy, international relations, financial studies are welcomed in this regard. The target group of the journal consists of academicians, researchers, professionals, students, related professional and academic bodies and institutions.
Topic:
Debt, Development, Economics, Budget, Finance, Investment, Trade, Unemployment, and COVID-19
Political Geography:
Europe, Turkey, and Asia

50. The Cost of Defence: ASPI Defence Budget Brief October 2022–2023

Author:
Marcus Hellyer
Publication Date:
11-2022
Content Type:
Policy Brief
Institution:
Australian Strategic Policy Institute (ASPI)
Abstract:
Shortly before the recent election, the previous government released a defence budget that continued its record of delivering the funding it promised in the 2016 Defence White Paper (DWP) and subsequent 2020 Defence Strategic Update (DSU). The Albanese government’s first budget was not designed to focus on Australia’s security situation or defence spending. Tasked with sharing Australia’s difficult economic situation with the Australian public, the budget has more immediate fish to fry. For those Australians who want to see increased defence spending, this was not going to be that budget as it would have directly undercut existing defence reviews due within months. Certainly, the Prime Minister has stated that the government will do whatever is necessary to ensure Australia has the defence force it needs in these strategically uncertain times. But this budget gives no indication of how much the government is willing to spend to do that. With the Defence Strategic Review (DSR) under Stephen Smith and Angus Houston conducting its work and not due to report until March next year, the government has stuck with the existing funding line it inherited from its predecessor. That’s an artefact of the 2016 Defence White Paper—a document developed in a different era and quickly overtaken by events. So Defence is in a holding pattern while the government keeps its powder dry and waits for Smith and Houston (noting their interim report has recently been handed to the government). No doubt it has had conversations with the DSR leads indicating its comfort zone for additional spending, but that hasn’t been made public. What we can say from the information set out in this budget is that any increase to defence spending will require difficult reprioritisation. While the government received a revenue windfall this year due to high commodity prices, those are forecast to return to normal. And with the government committing to deliver the tax cuts agreed by its predecessor, its income is under further pressure. At the same time, it’s facing five growing spending pressures: interest on the growing debt, the National Disability Insurance Scheme, health care, aged care, and defence—and that’s before any increase to the existing defence funding line. The result is a forecast for deficit spending for the next 10 years. That’s not a good situation for the DSR leads. They’re tasked with delivering new military acquisitions faster in the next decade, but the existing acquisition plan is probably already unaffordable (without increased spending), with many entirely new capabilities or expensive replacement projects. And with nuclear-powered submarines and frigates on the untouchable list, the challenge of delivering more sooner gets even harder, as those two programs will consume tens of billions of dollars over the coming decade even before they deliver their first vessels. Moreover, inflation is rapidly eroding Defence’s buying power by billions of dollars every year. By the end of the forward estimates, Defence may have lost around $18 billion in buying power even if inflation rapidly returns to the Reserve Bank of Australia’s target rate. That’s the budget papers’ predictions, but those predictions haven’t been very accurate in recent years. This year, despite nominal growth of over 7% in defence spending, real growth is under 1% once inflation is taken into account (although, with inflation difficult to predict, it’s also difficult to reliably quantify real growth). It’s hard to see Defence affording its ambitious acquisition program with a budget that’s essentially static in real terms. Inflation is also driving nominal GDP growth at a predicted 8% this year. That means that defence spending is falling as a percentage of GDP for the second year in a row despite the government delivering the funding set out in the 2016 Defence White Paper and 2020 Defence Strategic Update. Predicted defence spending has also fallen significantly just since the March budget, from 2.11% to 1.96%, despite the funding line remaining fundamentally unchanged. In summary, there is no pot of gold available to cover increased defence spending. That doesn’t mean the government can’t or won’t increase defence spending, but any increase will require either higher taxes (which appears unlikely, since the government is proceeding with its predecessor’s planned tax cuts), greater borrowing (accelerating the vicious cycle of debts and deficits), or cuts to other priorities that have constituencies of their own. When we look at Defence’s big three areas of spending—capital acquisitions, people and sustainment—there have been no significant changes since the March budget. With the Australian dollar at a 20-year low against the US dollar, the Defence budget has received a large automatic top-up to maintain its purchasing, but there’s no adjustment to compensate for inflation. There are a few changes to spending, but they’re broadly consistent with what we would see in a mid-year budget update. For those who follow capability, the top 30 acquisition projects and sustainment products hold some interesting information, but the lists are quite consistent with previous plans. We’ll have to wait for the outcomes of the DSR to see anything new. Similarly there’s been no adjustment to Defence’s personnel allocation since March. But that still means the ADF needs to find roughly 13,000 more people this decade to operate the capabilities on its shopping list, even though it’s only managed to grow by an average of 300 per year since the 2016 White Paper. Smith and Houston may need to consider whether it makes sense to acquire capabilities that the ADF can’t crew, or at least how the ADF can maximise its combat power without many additional people. Of course, another HR strategy is one based on ‘if you build it, they will come.’ The situation is also difficult with Defence’s civilian and external workforce. To deliver its ambitious capability program, Defence has relied on growing numbers of contractors. They’ve helped Defence spend record amounts in its acquisition programs in recent years, despite the impact of Covid-19; however, they come at a cost. That growth may be over; in the October budget, the government is seeking $144.6 million in ‘savings from external labour and savings from advertising, travel and legal expenses’. That’s not a large percentage of Defence’s total budget but, if it means the organisation can’t hire the people it needs to manage the acquisition program, it’s hard to see how Defence will deliver more capability sooner. Overall, while there were no surprises, the October budget hasn’t made the job any easier for Smith and Houston.
Topic:
National Security, Budget, Economy, Industry, and Defense Spending
Political Geography:
Australia and Australia/Pacific