Article ID: | iaor200970340 |
Country: | United States |
Volume: | 20 |
Issue: | 3 |
Start Page Number: | 277 |
End Page Number: | 298 |
Publication Date: | Jul 2008 |
Journal: | Journal of Public Budgeting, Accounting and Financial Management |
Authors: | Klase Kenneth A, Dougherty Michael J |
Keywords: | government, management, performance, time series & forecasting methods |
Little empirical analysis has occurred of the influence of performance-based budgeting on appropriation decision-making or budget outcomes, and most research has focused on the perceptions of budget officials. This research empirically tests to what extent the implementation of performance-based budgeting has had an impact on the actual allocation of resources in the form of Constant Per Capita Expenditure in the United States. A pooled cross-sectional analysis is used to evaluate the time series encompassing before and after implementation as a means of determining the impact of performance budgeting on state budgeting outcomes as revealed in expenditure patterns of the states. Results indicate that the implementation of performance budgeting has a statistically significant and positive effect on budget outcomes in the states as measured by constant per capita expenditures.