Public Finance
1
Preface
1.1
Book Overview
1.2
Data Sources
2
Introduction
2.1
Federal Government
2.2
State and Local Government
2.3
International Perspective
2.4
Efficiency
2.5
Role of Government in the Economy
2.5.1
Market Failures
2.5.2
Economic Stabilization
2.5.3
Redistribution
2.6
Methods of Government Intervention
2.7
Exercises
3
Basics of Budget Preparation
3.1
Budget Function and Purpose
3.2
Budget Preparation
3.2.1
Budget Document
3.2.2
Detailed Departmental Budgets
3.2.3
Budget Examples
3.3
Exercises
4
Budgeting in the United States
4.1
Budget Function Classification
4.2
Federal Budget Process and Major Institutions
4.3
Key Federal Budget Laws
4.4
Federal Budget Cycle
4.4.1
President’s Budget Request
4.4.2
Congressional Budget Resolution
4.4.3
Appropriation Bills
4.5
Types of Budget Authority
4.6
Main Social Insurance Programs
4.6.1
Medicare
4.6.2
Medicaid
4.6.3
Problems with Social Insurance Financing
4.7
Federal Debt
4.8
Exercises
5
Budget Methods and Format
5.1
Budget Philosophy
5.2
Budget Classification
5.3
Budget Types
5.3.1
Line Item Budget
5.3.2
Program Budget
5.3.3
Performance Budget
5.4
Zero-Based Budget
5.5
Advantages and Disadvantages
5.6
Exercises
6
Cost Accounting and Analysis
6.1
Cost Accounting
6.2
Cost Accounting Steps
6.3
Hoosier County Road Department
6.4
Break-Even Analysis
6.5
Personnel Cost versus Non-Personnel Cost
6.6
Personnel Budget
6.7
Exercises
7
Capital Budgeting
7.1
Capital Assets and Expenditures
7.2
Capital Budgeting Process
7.2.1
Inventory of Capital Assets and Future Needs
7.2.2
Project Evaluation and Selection
7.2.3
Financing Plan and Long-Term Financial Analysis
7.2.4
Financial Analysis over Capital Asset Lifetime
7.3
Capital Asset Financing Options
7.4
Net Present Value
7.5
Cost Benefit Analysis
7.6
Exercises
8
Introduction to Government Revenue
8.1
Introduction
8.2
Tax Terminology
8.2.1
Tax Base and Tax Trigger
8.2.2
Tax Rates
8.3
Tax Incidence
8.4
Tax Evaluation Criteria
8.4.1
Economic Efficiency
8.4.2
Equity
8.4.3
Adequacy
8.4.4
Feasibility
8.5
Tax Collection Steps
8.6
Exercises
9
Income Taxes
9.1
Income Definition
9.2
Income Tax Components
9.3
Income Tax Evaluation
9.3.1
New Jersey Millionaires Tax
9.3.2
Equity, Adequacy, and Elasticity
9.3.3
Bracket Creep and Indexation
9.4
Income Taxation at the State Level
9.5
Corporate Income Tax
9.6
Exercises
10
Consumption Taxes
10.1
Consumption Tax Definition
10.2
General Sales Tax
10.3
Retail Sales Tax
10.4
Value-Added Taxes (VAT)
10.5
Excise Taxes
10.6
Selective Excise Taxes
10.7
Sumptuary Excise Taxes (Sin Taxes)
10.8
Sales Tax Evaluation
10.9
Exercises
11
Property Taxes
11.1
Administrative Steps
11.2
Property Value Determination
11.3
Property Tax Rates
11.4
Public Services and Rate Setting
11.5
Technical Aspects of Property Taxes
11.5.1
Coefficicent of Dispersion (COD)
11.5.2
Price Related Differential (PRD)
11.5.3
Homestead Exemption: Overview
11.5.4
Circuit Breaker
11.6
Evaluation Criteria
11.7
Exercises
12
Case Studies
12.1
Farm-to-Table 4 All
12.2
State Tax Refrom
Published with bookdown
Public Finance
5.4
Zero-Based Budget
Basic elements
Defend entire budget annually
No automatic base to start from
Focus on entire budget, not just increase