24 Jun 2022

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The Political Nature of The Federal Budget Process

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Academic level: College

Paper type: Essay (Any Type)

Words: 528

Pages: 2

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Introduction 

The American federal budget process comprises four primary steps, including executive preparation, congressional operation, implementation and control, and review. The federal budget process is a way of allocating scarce resources, especially money. It is also a way of reaching a consensus regarding the allocation of the finances. Politicians come together to discuss and negotiate the complex trade-offs among the rival aspirations of the different societal elements (Krumbhaar, 2017). Each year party leaders initiate a legislative session aimed at yielding a concurrent budget resolution in addition to spending bills as per schedule. However, they fail dismally in their roles due to the political nature of the budget process. 

Source of Politics 

The federal budget process is highly political since economic allocation cannot be distinguished from political elements. The budget categorizes the resources that a state requires to function and, in effect, determines how to allot the society's scarce resources to rival interests and groups (Shafritz et al., 2015). Resultantly, the budget is political since it incorporates the clash of different political ideologies and views regarding state expenditure. Presidents, political parties, and congressmen all compete with one another to have their interests recorded in the budget. The executive branch, steered by the president and Congress, may be controlled by different parties. Congress comprises the Senate in addition to the House of Representatives. In this case, the president and Congress will be keen on ensuring their preferences are exhibited in the budget. An impasse may be reached when neither party wants to back down. Such an impasse may result in a government shutdown. For instance, in 2019, there was a government shutdown that lasted 35 days (Lindner, 2020). It took place when congress and the president could not see eye to eye on an appropriations bill to finance the federal government operations for the fiscal year of 2019. At that time, the Senate and executive were led by Republicans, while the house was dominated by Democrats. There was a deadlock over the president’s demand for more than five billion dollars in federal finances for constructing a wall between the US and Mexico. In 2018, the Senate enacted an appropriations bill without financing for the wall. The conflict of interest between Congress and President Trump led to the shutdown. Both parties had high stakes in the budgetary outcome showcasing the politicization of that year’s budget process. 

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If the same party controls the executive branch and Congress, there is a high likelihood that the federal budget process will not be politicized. The political ideologies of the executive and Congress are likely to be the same in such a situation. In addition, the interests regarding state spending are likely to be aligned, and, in such a case, the federal budget process is likely to be completed successfully. The budget appropriation bills which are sent to the president are likely to be signed into law. A government shutdown, which is highly detrimental, is likely to be avoided since the president will sign the legislation before the beginning of the fiscal year. 

Conclusion 

Admittedly, the federal budget process is a vital process that guarantees the allocation of vital cash resources. However, it is a significant political process due to clashing interests and ideologies. In most cases, it is caused when different political parties lead congress and the executive. Impasses between Congress and the executive lead to negative effects, including government shutdowns. However, when Congress and the executive share similar ideologies, such shutdowns are likely to be avoided. 

References 

Krumbhaar, G. D. (2017).  Working the federal budget: A guide . Taylor & Francis. 

Lindner, D. (2020).  An insider's guide to working for the federal government: Navigating all levels of government as a civil servant or contractor . Lanham: Bernan Press 

Shafritz, J. M., Russell, E. W., & Borick, C. (2015).  Introducing public administration . Routledge. 

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StudyBounty. (2023, September 14). The Political Nature of The Federal Budget Process.
https://studybounty.com/the-political-nature-of-the-federal-budget-process-essay

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