This book is concerned with incentives that ensure the accountability of the public sector. It provides tools to address issues of fiscal prudence, fiscal stress, citizen accountability, and public integrity. Fiscal Prudence Test: Are institutional arrangements appropriate to ensure that the government is constrained to raising taxes, expenditures, deficits, debts, and other liabilities only within affordable and sustainable limits? This question is the focus of several chapters. Jürgen von Hagen in chapter 1 is concerned with the political economy of the budgeting processes and discusses the implications of incomplete contracts of voters with politicians. In view of these incomplete contracts, politicians can use targeted public policies to ensure their confirmation in office. [download]
Format : Ebook.Pdf
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