Question 1. Types of Budgeting
Discuss the differences between the rational budgeting and incremental budgeting models.
Â· What advantages and disadvantages can you identify relating to both models?
Â· What improvements, if any, would you make to either model?
Question 2. Revenue Streams for Public Organizations
As noted in the readings, taxes and user fees provide much of the revenue for public organizations that is necessary to fund public programs. Yet, despite these revenue streams, local, state, and federal governments consistently face budgetary shortfalls in attempting to fund public programs.
Â· What changes, if any, would you make to the way governments obtain revenue for public programs?
Â· Consider the following questions: would you make any changes to individual and corporate income tax rates, property taxes, or sales taxes?
Â· Would you increase or decrease user fees?
Â· Do you think that a flat tax might be a more appropriate way to generate revenue?
Â· Would a national sales tax (not to be confused with state sales taxes) be a sensible method to raise revenue?
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