State and Local Government Budgeting Quiz

State and Local Government

• State and local governments are the most visible levels of government in the United States, providing essential services, programs, and infrastructure to citizens.
• There are 50 states, 3,031 counties, 19,519 municipal, 16,360 town or township, and 51,146 special purpose governments in the United States.

Civic Knowledge and Education

• As of 2007, only 29 states require a government or civics course in high school.
• Only 9 U.S. states require some study of American government, with 5 of these also requiring study of their respective state governments.

State and Local Government in Contemporary Context

• The purpose of this book is to provide an accessible overview and guide to state and local government for students with little to no exposure, encouraging lifelong democratic participation and "engaged citizenship."
• The book will explore the many forces that promote or threaten social, economic, institutional, and environmental sustainability in state and local government.

Forces Facing State and Local Governments

• State and local governments face many ongoing and new challenges, including adapting to socioeconomic and political changes, homeland security concerns, and environmental issues.
• The shift to a postindustrial society has brought about changes in the economy, demographics, and technology, affecting state and local government services and programs.

Socio-Economic and Political Characteristics of the United States

• Postindustrial societies, such as the United States, are characterized by a knowledge-based economy, service sector jobs, and growing environmental awareness.
• The United States has developed from a rural, agricultural-based economy to an industrial powerhouse, and now a postindustrial society with a focus on global sustainability.

Demographic Changes

• The U.S. population is aging, with increasing life expectancy, leading to changes in government services, such as healthcare, retirement pensions, and senior citizen recreational activities.
• Large-scale immigration from Mexico, Central America, and South America is creating new public issues, such as bilingual government services, cultural diversity programs, and new approaches to housing and transportation services.
• The increasing presence of women in the workforce and leadership roles is leading to increased emphasis on issues like family leave policies, daycare provisions, and equal employment opportunities.

Urbanization

• The United States has transformed from a rural nation to an urban society, with urbanization leading to increased economic and political power in urban centers.
• Urbanization has resulted in traffic congestion, air pollution, and environmental degradation, as well as increased demand for state and local services.
• Suburban sprawl has led to the growth of vast metropolitan areas, swallowing up prime agricultural areas and natural landscapes.

Globalization and Economic Change

• Globalization is characterized by the worldwide expansion of economic markets, facilitated by international institutions and treaties.
• The creation of a global free-market economy is based on the economic theory of neo-liberalism, promoting free trade, continuous economic growth, and reduced government regulation.
• Critics of globalization point to the loss of local control and cultural diversity, as well as the negative impacts on local communities and the environment.

Challenges for State and Local Governments

• State and local governments face challenges in attracting and retaining businesses, generating employment, and providing essential services in a globalized economy.
• They must balance the need to attract employers with the need to protect local communities and the environment, while also addressing issues like urbanization, demographic changes, and environmental degradation.### Challenges Facing State and Local Governments
• State and local governments in the United States face significant challenges, including:
  • Limited fiscal capacity due to:
    • Balanced budget requirements
    • Widespread use of economic incentives (tax concessions and targeted expenditures)
    • Increasing costs of essential services and entitlements (e.g., healthcare, education, infrastructure)
    • Growing demand for new amenities and services (e.g., cultural programs, broadband Internet, public libraries)
• Relying heavily on user fees and non-property, non-sales, and non-income tax revenues

Technological Change and Government

• The growing role of information technology in state and local government:
  • Attracting knowledge-based businesses to postindustrial societies
  • Providing services and information to citizens through online platforms
  • Enhancing efficiency and accountability in government operations
• Examples of e-government initiatives:
  • Online services (e.g., licensing, tax payment, information access)
  • Electronic voting and civic engagement platforms
  • Digital video surveillance for public safety and traffic management

State and Local Government in the United States

• Importance of state and local governments:
  • Providing essential services and infrastructure (e.g., education, healthcare, transportation, public safety)
  • Regulating organizations and businesses
  • Impacting citizens' daily lives
• Low levels of civic knowledge and engagement among citizens:
  • Limited requirements for civics and government education in schools
  • Lack of exposure to state and local government issues in universities
• Purpose of the book:
  • Providing an accessible overview of state and local government
  • Encouraging lifelong democratic participation and engaged citizenship

Forces Facing State and Local Governments

• Socioeconomic and political changes affecting state and local governments:
  • Postindustrial society characteristics:
    • Knowledge-based economy
    • Service sector dominance
    • Increasing importance of information technology
  • Demographic shifts:
    • Aging population
    • Racial and ethnic diversification
    • Immigration
• Challenges and implications for state and local governments:
  • Adapting to changing demographics and socioeconomic conditions
  • Addressing concerns for environmental sustainability and global awareness

Demographic Changes and Urbanization

• Demographic changes:
  • Aging population:
    • Increased costs for healthcare, pensions, and social services
    • Higher rates of political participation among seniors
  • Immigration:
    • Need for bilingual government services and cultural diversity programs
    • New law enforcement and social service challenges
• Urbanization:
  • Shift from rural to urban and suburban areas
  • Increased economic and political power in urban centers
  • Environmental and social impacts (e.g., traffic congestion, air pollution, loss of natural habitats)### Economic Changes
• Employment in agricultural and natural resource extraction sectors has declined to less than 2% of the contemporary labor force.
• Rural communities experience higher unemployment and poverty rates, and lower wages compared to metropolitan areas.
• Economic decline in rural communities can lead to increased natural resource extraction to sustain community viability.

Globalization and Economic Change

• Globalization refers to the worldwide expansion of economic markets in a broad range of goods and services.
• The current global free-market economy was facilitated by international regimes, such as GATT, WTO, World Bank, and IMF.
• Globalization is based on the economic theory of neo-liberalism, promoting free trade, continuous economic growth, and reduced government regulation.
• Critics argue that globalization leads to cultural homogenization, loss of local control, and diminished cultural diversity.

Effects on Local Communities

• The globalization of the economy creates challenges for states and local communities to attract and retain businesses, generating employment in an international and national context.
• States and local communities offer tax concessions and economic development subsidies to attract businesses, leading to the struggle of locally-owned businesses to survive.
• The influx of chain stores and nationally franchised businesses can have adverse effects on local community culture and influence.

Constraints on State and Local Governments

• State and local governments have limited ability to engage in deficit spending, with balanced budgets being the norm.
• Fiscal capacity is constrained due to widespread use of economic incentives, public hostility to tax increases, and increasing costs of essential services and entitlements.

Technological Change

• The growing role of information technology is important for understanding new issues facing state and local government in post-industrial societies.
• Modern information technology infrastructure is crucial in attracting knowledge-based businesses and enhancing governance.
• State and local governments rely heavily on computers and electronic communication to conduct their work, promoting efficiency and accountability.
• The use of technology enables citizens to access government information, file forms, and communicate with officials online.