IMF Working Papers

Does Performance Budgeting Work? An Analytical Review of the Empirical Literature

By Marc Robinson, Jim Brumby

November 1, 2005

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Marc Robinson, and Jim Brumby. Does Performance Budgeting Work? An Analytical Review of the Empirical Literature, (USA: International Monetary Fund, 2005) accessed November 24, 2024
Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary

This paper attempts to ascertain what light the empirical literature sheds on the efficacy of performance budgeting. Performance budgeting refers to procedures or mechanisms intended to strengthen links between the funds provided to public sector entities and their outcomes and/or outputs through the use of formal performance information in resource allocation decision making. The paper seeks to identify and examine the literature on "governmentwide" performance budgeting systems-that is, systems used by central budget decision makers (ministry of finance and political executive) to link the funding they provide to those agencies' performance. Performance budgeting principles are, however, applied not only on a government wide basis, but also in funding systems applied to specific categories of government services. This paper does not attempt to review the empirical literature on all such "sectoral" performance budgeting systems. Rather, it undertakes a case study of the literature on one specific sectoral system-output-based hospital funding systems.

Subject: Budget planning and preparation, Economic sectors, Expenditure, Labor, Performance-based budgeting, Public employment, Public financial management (PFM), Public sector, Tax incentives

Keywords: Agency budget appropriation, Allocative efficiency, Australia and New Zealand, Budget planning and preparation, Budget process, Casemix funding, Expenditure allocation, Federal budget, Global, Government employee, Line item, Management process, Managing-for-results processes, Office official, Performance budgeting, Performance Budgeting work, Performance measures, Performance-based budgeting, Political system, Private sector, Professional ethics, Projection method, Public employment, Public expenditure, Public sector, Resource allocation, WP

Publication Details

  • Pages:

    76

  • Volume:

    ---

  • DOI:

    ---

  • Issue:

    ---

  • Series:

    Working Paper No. 2005/210

  • Stock No:

    WPIEA2005210

  • ISBN:

    9781451862294

  • ISSN:

    1018-5941