government finance essay

• Undergraduate
• High School
• Architecture
• American History
• Asian History
• Antique Literature
• American Literature
• Asian Literature
• Classic English Literature
• World Literature
• Creative Writing
• Linguistics
• Criminal Justice
• Legal Issues
• Anthropology
• Archaeology
• Political Science
• World Affairs
• African-American Studies
• East European Studies
• Latin-American Studies
• Native-American Studies
• West European Studies
• Family and Consumer Science
• Social Issues
• Women and Gender Studies
• Social Work
• Natural Sciences
• Pharmacology
• Earth science
• Agriculture
• Agricultural Studies
• Computer Science
• IT Management
• Mathematics
• Investments
• Engineering and Technology
• Engineering
• Aeronautics
• Medicine and Health
• Alternative Medicine
• Communications and Media
• Advertising
• Communication Strategies
• Public Relations
• Educational Theories
• Teacher's Career
• Chicago/Turabian
• Company Analysis
• Education Theories
• Shakespeare
• Canadian Studies
• Food Safety
• Relation of Global Warming and Extreme Weather Condition
• Movie Review
• Admission Essay
• Annotated Bibliography
• Application Essay
• Article Critique
• Article Review
• Article Writing
• Book Review
• Business Plan
• Business Proposal
• Capstone Project
• Cover Letter
• Creative Essay
• Dissertation
• Dissertation - Abstract
• Dissertation - Conclusion
• Dissertation - Discussion
• Dissertation - Hypothesis
• Dissertation - Introduction
• Dissertation - Literature
• Dissertation - Methodology
• Dissertation - Results
• GCSE Coursework
• Grant Proposal
• Marketing Plan
• Multiple Choice Quiz
• Personal Statement
• Power Point Presentation
• Power Point Presentation With Speaker Notes
• Questionnaire
• Reaction Paper

Research Paper

• Research Proposal
• SWOT analysis
• Thesis Paper
• Online Quiz
• Literature Review
• Movie Analysis
• Statistics problem
• Math Problem
• All papers examples
• How It Works
• Money Back Policy
• Terms of Use
• Privacy Policy
• We Are Hiring

Government Finance and Budgets, Essay Example

Pages: 14

Words: 3790

Hire a Writer for Custom Essay

Use 10% Off Discount: "custom10" in 1 Click 👇

You are free to use it as an inspiration or a source for your own work.

Introduction

The below report is designed to evaluate U.S. Department of Health & Human Services’ Administration for Children and Families agency’s financial documents, plans and budgets for the recent years. According to Mikesell, (470), the main focus points of evaluating budgets should be the structure efficiency of information delivery, transparency and forecasts. The authors have chosen the Administration for Children and Families (ACF) as it is a government agency with several public policies, administration and reporting issues, as well as goals determined by the Senate. The financial reports will be reviewed alongside with the mission, performance and reporting practices of the HHS in order to build a complete picture of the organization and its strategies.

Nature of the Organization

The organization is a public service government agency, responsible for delivering family care services, carrying out legislative changes in the health care and human sector according to the decisions made by the Senate. The main priorities of the organization for the current year, among others are set as the support early childhood development, faith-based partnerships, tackle human trafficking and to ensure that families benefit from the health care reform.

Mission. According to the statement of the Administration for Children and Families, the agency is committed to “foster health and well-being by providing federal leadership, partnership and resources for the compassionate and effective delivery of human services”. Through their services, the agency is working on ensuring that families feel secure, healthy and economically safe in the United States.

Local Economic Environment. While the government agency belongs to the Federal Government and is led by the Health Secretary, there are ten different regional offices operating in the United States. These all have to deal with state-wide and regional variances and create a priority that matches the public needs of the area. Further, there are eighteen dedicated offices for various support functions, such as the Children’s Bureau, the Administration for Native Americans and the Office of Refugee Resettlement. According to the 2012 Justification report (3), the economic downturn in America and the over 9 percent unemployment rate negatively effected the support enforcement program, however, the child support program delivered by ACF remained cost-effective. See Table below. (Justification of Estimates for Appropriations Committees 58)

Performance. According to the 2012 performance report of the ACF, created by Office of Planning, Research and Evaluation (19), the agency’s budget was cut from the previous year, however, working on the allocation of the funds, the following priorities were selected:

a. child care assistance programs funding increase

b. Head Start program budget increase

c. targeted investments for vulnerable families and children, such as adoption incentives

d. funding of the “Strengthening Communities” program by $20 million

The following programs, however, were eliminated from the budget to cut the costs of operation: Community Services, Mentoring Children of Prisoners, the LIHEAP block grant, Voting Access for Individuals with Disabilities, and the Development Disabilities Projects of National Significance program. One of the success stories for 2012 was foster care programs, where the agency over-achieved the goals in four consecutive years between 2006 and 2009. The assistance provided for callers who were victims of domestic violence also increased every year between 2003 and 2009.

Size. The Department of Health And Human Services’ Administration for Children and Families is led by David A. Hansall, Acting Assistant Secretary, supported by three deputy assistant secretaries and an acting executive director. The thirteen different administration areas all have their directors or commissioners, as well as the regional office administrators assigned to each office. The size of the organization indicates that the agency is one of the main government employers in the United States, providing public services through research, development, planning and program execution.

Budgeting Methods

Budgeting Type. ACF operates a budget based on the funding requests submitted to the federal government for different programs. The enacted budget is based on the initiatives of the government, the requested and decided funding and the expenditures calculated for the fiscal year. The Office of Legislative Affairs & Budget published the all-purpose table of the agency for the year 2013. (Online) The breakdown of the budget is based on the different programs received by the Federal Government, as well as the money spent on programs allocated to the agency. Government agencies in the United States use fund accounting methods (Mikesell 50), to report on the fixed assets within the financial system.

The Budget Process. The budget is created by ACF, containing the funding request and submitted to the Congress. Upon approval, the budget is processed and funds are allocated to the different programs across the organization. The summary is provided by the “all purpose table” for the year, featuring the actual dollars provided by the Congress for ACF funding each program. The Congress also needs to consider the program initiatives and priorities set by the government agency when reviewing the budget. Further, the report includes the list and description of the discretionary programs, as well as the mandatory ones. It also has a table for administrative expenditures proposed for the year.

According to Mikesell (49), the Financial Accounting Standards Board determines the rules and regulations regarding the budgets of federal agencies. The accounting system consists of the following elements: source documents, journals, ledgers and procedures and controls, determining which data needs to be reported and in what form. The fiscal control in the United States is transferred to the relevant agency of the federal government. As the Budget and Accounting Act of 1921 (Mikesell 97) requires, agencies need to submit a budget message or proposal for the Congress for approval. The main change in the U.S. budgeting system was made in 1990, by the Budget Enforcement Act, focusing on controlling spending and reducing deficit. (Mikesell 91). The budgeting of government agencies have three main phases: the Formulation Phase, when agencies receive the planning guidance and priorities and budget submissions are completed, the Congressional Phase when the Congress reviews the views and estimates and completes the resolution, and the Execution Phase, when the fiscal year begins and funding of programs, distribution of funds and sources, delivery of services is completed.

The budget of ACF needs to be not only submitted to the Congress, but there is also a need for submitting supporting reports. In 2013, there were several progress reports created and submitted on individual programs, related to the work and projects completed by the Administration for Children, Youth and Families, Administration for Native Americans and the Children’s Bureau. As child support enforcement is one of the main target areas of the government, this sub-agency also creates annual reports for the Congress.

Recent Budget Documents. The recent Congressional Justification document for 2012 and 2013 includes funding requests for 2012 and 2013. The budget brief (online) also includes information on funding statistics overall related to the whole organization of HHS. According to the brief, the majority of federal funding is spent on Medicare and Medicaid programs, while only 3 percent of the whole HHS budget is allocated for Children’s entitlement, eight percent for discretionary programs and one percent for further mandatory programs.

The allocation of funding for the Administration for Children and Families has slightly increased from 2012 to 2013, however, there was a drop in the budget authority and outlays funding from 2011 to 2012. (Budget in Brief 10)

Expenses. The expenses of the agency are made up of budgets for funding government programs and operating expenses. The 2013 budget’s main expenses are related to temporary assistance for needy families (87), making up a total of 35 percent of the budget. The spending on Head Start program in 2013 is a total of 16 percent of the expenditure, while 14 percent is spent on foster care and permanency services.

Performance and Measures. The 2013 Fiscal Year Budget in Brief (97) also includes proposals for future costs. Mandatory costs on entitlements are likely to increase, according to estimates of the research service. Child Care development fund, family support and emergency funds are likely to increase in the next ten years, according to the ACF Mandatory – Legislative Proposals in Outlays (98)

Performance measures need to represent figures that clearly indicate the level of success the agency achieves in delivering priority and mandatory government services, according to the initiatives. The performance measures are set by the Office of Child Care, in association with the Congress’ budget justification committee. (OCC)

Currently, there are four main measures set to assess the performance of the agency, and these are:

a. Access to child care assistance

b. Quality rating and improvement systems

c. Professional development systems

d. early learning and development standards

Further, the government has indicated federal priorities that relate to states implementing quality rating and improvement systems into the agency’s work, as well as the increase of the number of children in high quality classrooms, according to the Head Start project. The agency needs to be able to perform according to these priorities, as well as the four measures above.

According to the Performance.gov website’s data, the agency has increased the number of states implementing QRIS meeting high quality standards from 17 to 19 in 2012. However, the other main priority measure cannot be measured against previous data: currently 25 percent of Head Start grantees receive low scores in Pre-K. The goal of the agency is to reduce this measure by 2 percent by the last quarter of 2013 and further 2 percent by the last quarter of 2014.

Major Revenue Sources

The agency’s main revenue source is federal government direct funding. It consists of various grants and funds provided for the agency to be distributed in the public sector. The discretionary programs include:

Low income home energy assistance program grant

Child Care Development Fund

Various children and families programs, including the Head Start program and Child Abuse program funding

Payments to states allocated for child support enforcement and family support

Children research and technical assistance

Temporary Assistance for Needy Families (TANF)

Foster care and permanency payments

Safe and stable family promotions.

The Major Revenue Source. Block Grants are provided for the agency, covering the cost of funding, grants provided, operating expenses and delivery of public services and research. This, on its own does not tell the authors much about the way and effectiveness of how ACF allocates the funds and how much support is delivered to the public. Indeed, the budget, as it is based on direct government funding assumes that the expenditures of the agency match the allocated funding.

Budget Revenue Section. It is hard to determine the revenue measures and effectiveness of ACF, as funds from the federal government are allocated on a per-program basis, including the services, infrastructure, human resource and operation costs of the delivery, as well as the research. Examining the programs separately, however, provides the authors with an idea of the cost of delivery. Looking at the TANF block grant, it is visible that around 28 percent of the funds is spent on basic assistance delivery, 7 percent on administration, around 7 percent on work expenditures, 16 percent on childcare delivery, 9.6 percent on other work support and 31. 7 percent on other expenditures.

Revenue Changes. The changes in the revenue are directly determined by the Federal Government’s priorities and budget approval. It is clearly visible that after the long recession in the United States, the revenues of the agency were slightly decreased, however, not as much as other government agencies’. While – as it has been proven before – the main budget of the Department of Health and Human Services is allocated for Medicare, Medicaid and the delivery of the Health Care Reform in the U.S., one of the government’s priorities still remains ensuring that families in the country are provided support and health care services, preventive measures.

Forecasting Methods. The budget forecasts are detailed in the enacted all purpose table, submitted to the Congress for approval. However, after the budget is approved by the government, there is a need to submitting a justification budget that details how the money provided by the federal government for different initiatives and programs was spent and measuring the outcomes of different performance measures and priorities. This also means that the accuracy of the enacted budget needs to be carefully thought over initially, considering the goals, initiatives, statistical and research data related to children’s services. Any request for the increase of government funding needs to be explained in the document, while the estimates need to match the cost-effectiveness measures of the government.

The strict requirements of receiving direct federal government funding for programs means that the responsibility for compliance, delivery and administration of child and family welfare programs ensures that the agency performs according to the regulatory expectations of the government.

ACF also monitors state-wide performance against the compliance measures. According to the Annual Report to Congress in State Child Welfare Expenditures Reported on the CFS-101 dated for 2012, the planned expenditures of the agency were distributed the following way: Over 30 percent of the funds were planned to be spent on protection service design and delivery, with the next two priorities being family preservation and preventive and family support. Administrative costs had six percent of the total funds allocated. The planned use followed the patterns of previous years, however, the allocation for family support services increased from 2009.

Rates and Charges. The agency, being a non-profit government organization does not charge for its services, and its main task is to successfully, fairly and effectively allocate funds provided by the Federal budget to families needing support, according to state and federal regulations, priorities and program arrangements. While the service delivery, training, human resources and operation costs add up to a substantial amount, these operating expenses are included in the block grant allocation. This also means that the agency needs to meet its targets while staying within the proposed and approved budget.

New Revenue Sources. Introducing new revenue sources into the organization of ACF is not possible, as – according to the Constitution of the United States – the direct government funding is designed to ensure that there is no conflict of interest between sponsors and that the legislation, regulation and initiatives of the government are closely followed.

By providing block grants, the Federal Government does allocate funds for the agency to be used for delivering grants, funds, financial and training support, as well as the service. This also means that every single block grant needs to be reviewed against performance measures.

As every block grant has a variable funding level year by year, determined by the government, this also indicates that the revenue sources vary from one grant to another. As an example, The TANF funding block grant consists of seven different funding sources. These are:

a. State family assistance grant

b. Supplemental grants

c. Healthy marriage / responsible fatherhood grants

d. Grants to the territories

e. Grants for tribal work programs

f. Regular contingency funds

g. Emergency contingency funds

Reviewing Table I of the TANF CRS Document (Falk 1) below, it is important to note that the allocations of funds for the program seem to be consistent, except for the two contingency funds, which can be changed according to the priorities, economic requirements and support needed. After the recession, Regular contingency funds were increased, while the Emergency contingency funds were added to the budget of the TANF program.

Debt Management

Government agencies have their own debt management procedures, detailed in the MEFMI document (8). The authorization process involves the review of the agency’s performance, the source of debt. In case of external debt, the government’s debt management agencies get involved in the recovery of funds. When the agency spends more than the allocation amount. There is a review of the budget documents and the statutory bodies, private organizations are contacted by the debt recovery agencies. It is also important to note that the government’s debt management principles are applied in every agency. Government guarantee limits are determined in the beginning of the fiscal year, therefore, even when funding is not available for the programs, they can carry on using the public debt processes of the Federal U.S. Government.

The authorization process of debt within government agencies is in line with transparency and accountability guidelines and regulations set by the government. The terms and conditions of loans provided for the agency need approval of the Federal Government. Government security funds need to be specified and approved by the Accountant General. The Department of Treasury is the financial executive office of the U.S. Federal government. It is responsible for collecting taxes, duties and other payments in order to make them available for the next year’s budget This office also manages the United States’ public debt, including individual agencies’ outstanding payments and finances.

Debt Information. As the U.S government operates a strict and well outlined Federal Reserve system, it ensures that funds for government operations and programs are available when agencies call for them. The U. S. federal budget contains a section of assets, liabilities and details the yearly budget on a national level. The debt information of ACF is not available through common Internet publications of the government, therefore, the authors can assume that these are handled by the federal Office of Legislative Affairs & Budget, publishing financial projections, budget proposals and justification documents. Debt information, however, is found in the justification budget document’s unfunded authorization section, where the funds not available for the delivery of the program are detailed.

Debt Management Practices. Debt management is handled by issuing Agency Bonds, however, only a few agencies use this practice. Unlike government sponsored enterprises, funding of loans is not the agency’s responsibility, but the federal government’s.

Debt Burden and Debt Service. As mentioned above, government agencies’ debt is handled by the federal administration, therefore, it is not included in the budget document. However, it is important to note that without this information it is hard to measure the performance of the agency, as well as the effectiveness of public service delivery.

Debt Issues. There are currently no debt issues arising in the budget of the ACF, and this is due to the strict government regulation, the presence of the overseeing bodies in the financial management system of the agency, as well a the guarantees provided by the Senate for the programs funds are allocated for.

Transparency Issues

The existence of Block Grants in the federal government funding systems has been criticized by several senators and researchers, as it greatly affects transparency of agencies. While different funds and government initiatives, programs are broken down based on expenditures, as the agency operates in the public sector, there are no details published regarding its effectiveness of delivery; namely: how much of the funding goes directly to the families needing the support and how big the operating expenditure of the agency is. This is one of the main questions of transparency of governments today in America, and needs to be addressed.

While the government’s spending on budgets, programs, delivery and initiatives is clearly described in the budget, the background of funding this way is not promoting transparency. Local delivery systems are not reporting to the program’s management, therefore, the spending cannot be monitored or controlled. Spar (2), block grants, such as the Community Services Block Grant, administered by the HHS need authorization of the federal government. The allocation of funds is based on the CSBG Act, and this act provides estimated expenditure figures for agencies. For example, 1.5 percent of the program’s budget is reserved for administration, technical assistance and training. Funds are used for the government’s determined goals: for instance the CSBG is allocated for fighting the causes of poverty. The role of the Child Care Development Fund is to support working families’ children’s development.

The question of accountability and transparency, however, can be viewed from a different perspective, as well. By creating annual reports and research studies about the work completed by the agency, the government is able to oversee not only the budget and spending of ACF but the processes, effectiveness and performance against the targets. In this form, the transparency of the federal government directly determines the level of transparency within the agencies working alongside the State Departments. According to the Federal Government’s transparency initiatives, the executives’ budget proposal should include revenues, expenditures and debt information. Further, there is a need for comprehensive reporting, classification of transactions and liabilities. However, the initiative on the Government’s transparency website also calls for public access to detailed reports of spending, including contracts and subsidiaries. This information is not available for the public on the agency level in the case of ACF, therefore, there is a discrepancy and confusion about how public spending records are made transparent through the government. Still, on the program level, more importantly on the fund level, there is an overlap between programs, funds and state departments, making retrieving and analyzing data more complicated and confusing.

While the review of the Administration for Children and Families’ has produced a result of understanding federal government funding and spending through the programs, block funds and other provisions in place, it is also evident that the review of the budget is not comprehensive, and – due to the legislation related to government agencies’ reporting, as well as the budgeting structure -. there is a lack of information on how effectively ACF delivers public services. While the approximate and estimated costs of operation are included in the block funds and the budget of the organization, there is a lack of information on how much it costs for the federal government to deliver a program or an initiative.

While there are several federal and agency budget priorities determined every year by the Congress, and the reporting obligations require the agency to submit a performance report, as well as a justification budget for the foregone year, reviewing the spending of the government on a state, project and program level is still challenging. As the source of funds changes from one year to another, and the targets are variable based on priorities, the authors conclude that the budgeting system of federal government agencies does not fully serve transparency initiatives started by the current Congress.

Administration for Children and Families. Department of Health and Human Services. Fiscal Year 2012 Justification of Estimates for Appropriations Committees. 2012. Web.

Administration for Children and Families. Department of Health and Human Services. Fiscal Year 2013 Justification of Estimates for Appropriations Committees. 2013. Web.

Annual Report To Congress On State Child Welfare Expenditures Reported On The CFS-101. 2012. Web.

Falk, G. The Temporary Assistance for Needy Families (TANF) Block Grant: Responses to Frequently Asked Questions. Congressional Research Service 7-5700 October 17, 2013

Mikesell, J. L. (2011). Fiscal Administration. 8th Edition. Print.

Spar, K. Community Services Block Grants (CSBG): Background and Funding . CRS Document. 7-5700 May 24, 2013 Web. 2013.

U.S. Department of Health and Human Services. Fiscal Year 2013. Budget in Brief . 2012. Web.

Stuck with your Essay?

Get in touch with one of our experts for instant help!

Health-Related Website, Research Paper Example

Introduction to Legal Studies, Coursework Example

Time is precious

don’t waste it!

Plagiarism-free guarantee

Privacy guarantee

Secure checkout

Money back guarantee

Related Essay Samples & Examples

Voting as a civic responsibility, essay example.

Pages: 1

Words: 287

Utilitarianism and Its Applications, Essay Example

Words: 356

The Age-Related Changes of the Older Person, Essay Example

Pages: 2

Words: 448

The Problems ESOL Teachers Face, Essay Example

Pages: 8

Words: 2293

Should English Be the Primary Language? Essay Example

Pages: 4

Words: 999

The Term “Social Construction of Reality”, Essay Example

Words: 371

What is Public Finance?

Components of public finance, managing public finance, revenue and expenditures, additional resources, public finance.

How a nation manages its finances

Public finance is the management of a country’s revenue, expenditures , and debt load through various government and quasi-government institutions. This guide provides an overview of how public finances are managed, what the various components of public finance are, and how to easily understand what all the numbers mean. A country’s financial position can be evaluated in much the same way as a business’ financial statements .

The main components of public finance include activities related to collecting revenue , making expenditures to support society, and implementing a financing strategy (such as issuing government debt). The main components include:

Tax collection

Tax collection is the main revenue source for governments. Examples of taxes collected by governments include sales tax, income tax (a type of progressive tax ), estate tax, and property tax. Other types of revenue in this category include duties and tariffs on imports and revenue from any type of public services that are not free.

The budget is a plan of what the government intends to have as expenditures in a fiscal year. In the U.S., for example, the president submits to Congress a budget request, the House and Senate create bills for specific aspects of the budget, and then the President signs them into law. Read a copy of 2017 Budget of the U.S. government , as published by the Office of Management and Budget.

Expenditures

Expenditures are everything that a government actually spends money on, such as social programs, education, and infrastructure. Much of the government’s spending is a form of income or wealth redistribution, which is aimed at benefiting society as a whole. The actual expenditures may be greater than or less than the budget.

Deficit/Surplus

If the government spends more then it collects in revenue there is a deficit in that year. If the government has less expenditures than it collects in taxes, there is a surplus.

National Debt

If the government has a deficit (spending is greater than revenue), it will fund the difference by borrowing money and issuing national debt. The U.S. Treasury is responsible for issuing debt, and when there is a deficit, the Office of Debt Management (ODM) will make the decision to sell government securities to investors.

Let’s take a closer look at how taxes, expenditures, and the deficit work. Below is a diagram of how the three are connected, and how the government determines how much financing it needs in a given fiscal year.

Total government revenue or tax collection is represented by the blue bar. This is a source of cash for the government.

Expenditures are a use of cash, and to the extent that they are greater than revenue, there is a deficit.

The difference between revenue and expenditures is the deficit (or surplus) that is funded with national debt.

2017 U.S. Figures

Now that the concept has been illustrated, let’s look at a real public finance example with the U.S. government in 2017.

2017 example:

• Revenue was approximately $3.3 trillion
• Spending was $3.97 trillion
• Deficit was $665 billion

Source:  https://www.usgovernmentrevenue.com/2017

Below is a list of some of the most common revenues and expenditures in the world of public finance.

Revenue /  Taxes

• Income tax (personal, corporate)
• Property tax
• Value added tax (VAT)
• Import duties
• Health care
• Employment insurance
• Defense (military)
• Infrastructure

Thank you for reading CFI’s guide to what public finance is and how the numbers all fit together. When you look at it in simple terms, it’s quite easy to understand.

To keep advancing your career, the additional CFI resources below will be useful:

• Accounting for Income Taxes
• Top Accounting Scandals
• Finance Salary Guide
• See all economics resources

Financial Analyst Certification

Become a certified Financial Modeling and Valuation Analyst (FMVA)® by completing CFI’s online financial modeling classes!

• Share this article

Create a free account to unlock this Template

Access and download collection of free Templates to help power your productivity and performance.

Already have an account? Log in

Supercharge your skills with Premium Templates

Take your learning and productivity to the next level with our Premium Templates.

Upgrading to a paid membership gives you access to our extensive collection of plug-and-play Templates designed to power your performance—as well as CFI's full course catalog and accredited Certification Programs.

Already have a Self-Study or Full-Immersion membership? Log in

Access Exclusive Templates

Gain unlimited access to more than 250 productivity Templates, CFI's full course catalog and accredited Certification Programs, hundreds of resources, expert reviews and support, the chance to work with real-world finance and research tools, and more.

Already have a Full-Immersion membership? Log in

Page One Economics ®

Making sense of the national debt.

"Blessed are the young for they shall inherit the national debt." 

—Herbert Hoover

We live in a world of scarcity —which means that our wants exceed the resources required to fulfill them. For many of us, a household budget constrains how many goods and services we can buy. But, what if we want to consume more goods and services than our budget allows? We can borrow against future income to fulfill our wants now. 1 This type of spending—when your spending exceeds your income—is called deficit spending. The downside of borrowing money, of course, is that you must repay it with interest, so you will have less money to buy goods and services in the future. 

2018 U.S. Federal Deficit

In 2018 the federal deficit was $779 billion, which means that the U.S. federal government spent $779 billion more than it collected. 

SOURCE: https://datalab.usaspending.gov/americas-finance-guide/ . Data are provided by the U.S. Department of the Treasury and refer to fiscal year 2018.

Governments face the same dilemma. They too can run a deficit, or borrow against future income, to fulfill more of their citizens' wants now (Figure 1). For a variety of reasons, governments may borrow rather than fund spending with current taxes. Deficit spending can be used to invest in infrastructure, education, research and development, and other programs intended to boost future productivity. Because this type of investment can increase productive capacity , it can also increase national income over time. And deficit spending can be used to create demand for goods and services during recessions.  

For the U.S. government, deficit spending has become the norm. In the past 90 years, it has run 76 annual deficits and only 14 annual surpluses. In the past 50 years, it has run only 4 annual surpluses. 2 The accumulation of past deficits and surpluses is the current national debt : Deficits add to the debt, while surpluses subtract from the debt. At the end of the first quarter of 2019, the total national debt, also called total U.S. federal public debt, was $22 trillion and growing. This circumstance raises important questions: How much debt can an economy sustain? What are the long-term risks of high debt levels? 

Who "Owns" the National Debt?

While individuals borrow money from financial institutions, the U.S. federal government borrows by selling U.S. Treasury securities (bills, notes, and bonds) to "the public." For example, when investors purchase newly issued U.S. Treasury securities, they are lending their money to the U.S. government. The purchaser may receive periodic payments and/or a final payment, known as the "face value," at the end of the term. You or someone close to you likely holds U.S. Treasury securities either directly in an investment portfolio or indirectly through a mutual fund or pension account. As such, you, or they, own U.S. government debt. But, as a taxpayer, you are also beholden to pay part of that debt. A majority of the national debt is held by "the public," which includes individuals, corporations, state or local governments, Federal Reserve Banks, and foreign governments. 3 In other words, debt held by the public includes U.S. government debt held by any entity except the U.S. federal government itself (Figure 2). The largest public holders of U.S. government debt are international investors (40 percent), domestic private investors (38 percent), Federal Reserve Banks (15 percent), and state and local governments (6 percent). 4

Fiscal Year 2018 Debt Held by the Public and Intragovernmental Debt

SOURCE: https://www.gao.gov/americas_fiscal_future?t=federal_debt , accessed September 5, 2019.

In addition to owing money to "the public," the U.S. government also owes money to departments within the U.S. government. For example, the Social Security system has run surpluses for many years (the amount collected through the Social Security tax was greater than the benefits paid out) and placed the money in a trust fund. 5 These surpluses were used to purchase U.S. Treasury securities. Forecasts suggest that as the population ages and demographics change, the amount paid in Social Security benefits will exceed the revenues collected through the Social Security tax and the money saved in the trust fund will be needed to fill the gap. In short, some of the $22 trillion in total debt is intragovernmental holdings—money the government owes itself. Of the total national debt, $5.8 trillion is intragovernmental holdings and the remaining $16.2 trillion is debt held by the public. 6 Because debt held by the public represents debt payments external to the government, many economists feel it is a better measure of the debt burden. 

Household and Government Financing Over the Life Cycle 

The life cycle theory of consumption and saving holds that households seek to smooth their consumption of goods and services over the life cycle by borrowing early in life (for college or to buy a home), then saving and paying down debt during their working careers, and finally living on their savings during retirement. Financial advisors often suggest that people try to be debt free before they retire. As such, people are often motivated in their prime working years to pay down their debts and then pay them off entirely before they quit working. Given this mindset, people often assume that government debt must be paid in full at some point. But there are important differences between government debt and household debt.

While people tend to prefer to pay off their debts before they retire (and stop earning income) or die, governments endure indefinitely. In general, governments expect that their economies will continue to grow and that they will continue to collect tax revenue. If governments need to refinance past debts or cover new deficits, they can simply borrow. In effect, governments never need to pay off their debts entirely because the governments will exist indefinitely. 

However, this does not mean that debt is without cost. It is important to understand that debt has an opportuni ty cost . For the 2018 fiscal year, interest payments on the U.S. national debt were $523 billion. 7 This money could have financed other projects if the debt did not exist. And, of course, that $523 billion was simply the interest on the existing debt and did not pay down that debt.

How Much Debt Is Too Much Debt?

Although governments may endure indefinitely, that does not mean they can accumulate unlimited debt. Govern­ments must have the necessary income to finance their debt. Economists use gross domestic product (GDP), the total market value, expressed in dollars, of all final goods and services produced in an economy in a given year, as a measure of national income. Because GDP indicates national income, it also indicates the potential income that can be taxed, and taxes are a primary source of government revenues. In this way, a nation's GDP determines how much debt can be supported, which is similar to how a person's income determines how much debt that person can reasonably take on. Just as individuals can sustain higher debt as their incomes increase, economies can sustain higher debt when the economy grows over time. However, if debt grows at a faster rate than income, eventually the debt might become unsustainable. Econ­omists use the debt-to GDP ratio to measure how sustainable the debt is (Figure 3). Some economists, referred to as "owls," suggest that people's worries about U.S. government debt are overblown (see the boxed insert, "Deficit Hawks, Doves, and…Owls?"). 

Federal Debt Held by the Public as Percent of Gross Domestic Product

Federal debt held by the public has grown faster than GDP, lead ing to a rising debt-to-GDP ratio.

NOTE: Gray bars indicate recessions as determined by the National Bureau of Economic Research (NBER).

SOURCE: U.S. Office of Management and Budget. FRED ® , Federal Reserve Bank of St. Louis; https://fred.stlouisfed.org/graph/?g=lKfK, accessed September 5, 2019. 

The Government Accountability Office (GAO) suggests that the U.S government debt is currently on an unsustainable path: The federal debt is projected to grow at a faster rate than GDP for the foreseeable future. A significant portion of the growth in projected debt is to fund social programs such as Medicare and Social Security. Using debt held by the public (instead of total public debt), the debt-to-GDP ratio averaged 46 percent from 1946 to 2018 but reached 77 percent by the end of 2018 (see Figure 3). It is projected to exceed 100 percent within 20 years. 8  

Credit risk is the risk to the lender that the borrower will not repay the loan. It is one component of the interest rate that borrowers pay. Like for all loans, interest rates on Treasury securities reflect risk of default . The higher the risk of default, the higher the interest rate investors will expect: A country perceived as a higher credit risk must pay bond holders higher interest rates than a country perceived as a lower credit risk, all else equal. Thus, when bond yields spike, it might reflect rising risk. 

Economist Herb Stein once said, "If something cannot go on forever, it will stop." In other words, trends that are unsustainable will not continue because the economy will adjust, sometimes in abrupt and jarring ways. While governments never have to entirely pay off debt, there are debt levels that investors might perceive as unsustainable. A solution some countries with high levels of unsustainable debt have tried is printing money. In this scenario, the government borrows money by issuing bonds and then orders the central bank to buy those bonds by creating (printing) money. History has taught us, however, that this type of policy leads to extremely high rates of inflation ( hyperinflation ) and often ends in economic ruin. Some of the better-known examples of such polices are Germany in 1921-23, Zimbabwe in 2007-09, and Venezuela currently. An important protection against this type of policy is to create an independent central bank that is insulated from the political process and has clear objectives (such as a specific target for the inflation rate) so that it can make policy decisions to sustain economic health over the long run rather than respond to political pressures. 9  

Conclusion 

The national debt is high by historical standards—and rising. People often assume that governments must pay off their debts in the same way that individuals do. How­ever, there are important differences: Governments (and their economies) do not retire, and governments do not die (or don't intend to). As long as their debt payments remain sustainable, governments can finance their debt indefinitely. And if a government prints money to solve its debt problem, history warns that hyperinflation and financial ruin will likely result. While debt in itself is not a bad thing, it can become dangerous if it becomes unsustainable.

1 Households could alternately spend out of past savings. 

2 U.S. Office of Management and Budget, "Federal Surplus or Deficit." FRED®, Federal Reserve Bank of St. Louis; https://fred.stlouisfed.org/graph/?g=otZF , accessed September 5, 2019.

3 U.S Department of the Treasury, Bureau of the Fiscal Service. "Frequently Asked Questions about the Public Debt." https://www.treasurydirect.gov/govt/resources/faq/faq_publicdebt.htm#DebtOwner , accessed September 5, 2019.

4 U.S. Government Accountability Office. "America's Fiscal Future: Federal Debt." https://www.gao.gov/americas_fiscal_future?t=federal_debt , accessed September 5, 2019.

5 Social Security Administration. "Trust Fund Data." https://www.ssa.gov/oact/STATS/table4a3.html , accessed September 5, 2019.

6 U.S. Department of the Treasury, Bureau of the Fiscal Service. "Federal Debt Held by the Public." FRED ® , Federal Reserve Bank of St. Louis; https://fred.stlouisfed.org/graph/?g=mAfK , accessed September 5, 2019.

7 U.S Department of the Treasury, Bureau of the Fiscal Service. "Interest Expense on the Debt Outstanding." https://www.treasurydirect.gov/govt/reports/ir/ir_expense.htm , accessed September 5, 2019.

8 U.S. Government Accountability Office. "America's Fiscal Future." https://www.gao.gov/americas_fiscal_future?t=fiscal_forecast#projecting_the_future , accessed September 5, 2019.

9 Waller, Christopher. "Independence + Accountability: Why the Fed Is a Well-Designed Central Bank." Federal Reserve Bank of St. Louis Review , September/October 2011, 93 (5), pp.  293-301; https://files.stlouisfed.org/files/htdocs/publications/review/11/09/293-302Waller.pdf .

© 2019, Federal Reserve Bank of St. Louis. The views expressed are those of the author(s) and do not necessarily reflect official positions of the Federal Reserve Bank of St. Louis or the Federal Reserve System.

Default: The failure to promptly pay interest or principal when due. 

Fiat money: A substance or device used as money, having no intrinsic value (no value of its own), or representational value (not representing anything of value, such as gold).

Hyperinflation: A very rapid rise in the overall price level; an extremely high rate of inflation.

Inflation: A general, sustained upward movement of prices for goods and services in an economy.

National debt: The accumulation of budget deficits. Also known as government debt.

Opportunity cost: The value of the next-best alternative when a decision is made; it's what is given up.

Productive capacity: The maximum output an economy can produce with the current level of available resources.

Scarcity: The condition that exists because there are not enough resources to produce everyone's wants.

U.S. Treasury securities: Bonds, notes, bills, and other debt instruments sold by the U.S. government to finance its expenditures.

Cite this article

Subscribe to Our Newsletter

Stay current with brief essays, scholarly articles, data news, and other information about the economy from the Research Division of the St. Louis Fed.

SUBSCRIBE TO THE RESEARCH DIVISION NEWSLETTER

Research division.

• Legal and Privacy

One Federal Reserve Bank Plaza St. Louis, MO 63102

Information for Visitors

Government Finance Essays

Understanding general long-term liabilities in government finance, popular essay topics.

• American Dream
• Artificial Intelligence
• Black Lives Matter
• Bullying Essay
• Career Goals Essay
• Causes of the Civil War
• Child Abusing
• Civil Rights Movement
• Community Service
• Cultural Identity
• Cyber Bullying
• Death Penalty
• Depression Essay
• Domestic Violence
• Freedom of Speech
• Global Warming
• Gun Control
• Human Trafficking
• I Believe Essay
• Immigration
• Importance of Education
• Israel and Palestine Conflict
• Leadership Essay
• Legalizing Marijuanas
• Mental Health
• National Honor Society
• Police Brutality
• Pollution Essay
• Racism Essay
• Romeo and Juliet
• Same Sex Marriages
• Social Media
• The Great Gatsby
• The Yellow Wallpaper
• Time Management
• To Kill a Mockingbird
• Violent Video Games
• What Makes You Unique
• Why I Want to Be a Nurse
• Send us an e-mail

• < Previous

UKnowledge > Graduate School > Martin School of Public Policy and Administration > Theses & Dissertations > 4

Theses and Dissertations--Public Policy and Administration

Three essays on fiscal stress and financial stability in state government finance.

James B. Gibson , University of Kentucky Follow

Date Available

Year of publication, degree name.

Doctor of Philosophy (PhD)

Document Type

Doctoral Dissertation

• Graduate School

Department/School/Program

Public Policy and Administration

First Advisor

Dr. Dwight V. Denison

State government finance is a substantial endeavor in the United States. The management of a multitude of revenues and expenditures often involves some level of fiscal stress. In an age of increased public scrutiny, policymakers must be mindful of possible causes of fiscal stress, and the policy options available to mitigate fiscal stress and increase financial stability. This dissertation contains three essays that examine different elements of fiscal stress, and in some cases, the applicable policy responses.

Chapter two examines rainy day funds and their countercyclical goal of reducing recessionary fiscal stress. This essay takes a different approach from much of the literature, by using forecast residuals to quantify fiscal stress as tax revenue volatility and searching for any relationship between rainy day funds and states that had greater volatility. Empirical results indicate states that experience positive residuals, that is actual tax revenues greater than the forecast trend line, had greater rainy day fund balances.

Chapter three focuses on the problem of lost revenues facing states from e-commerce. Due to Supreme Court decisions, businesses that do not have a physical location, or nexus, in a state are not required to collect sales and use taxes. To date, the policy response to lost revenue that has gained the most traction is the Streamlined Sales and Use Tax Agreement. Results indicate that states with local option sales taxes and higher sales tax rates were more likely to adopt this agreement.

Chapter four scrutinizes state unemployment trust funds, which are used to fund state unemployment insurance programs. If state funds run short of money during recessions due to the larger number of individuals drawing benefits, then states must borrow from the federal government’s unemployment trust fund. This creates another liability that must be managed by state governments. Empirical findings show that several features of programs affect balances and the probability of taking a loan from the federal fund including the taxable wage base, weekly benefits, and unemployment tax rates. This dissertation concludes by summarizing the results and exploring future research possibilities on the three essay topics.

Recommended Citation

Gibson, James B., "Three Essays on Fiscal Stress and Financial Stability in State Government Finance" (2013). Theses and Dissertations--Public Policy and Administration . 4. https://uknowledge.uky.edu/msppa_etds/4

Since May 02, 2013

Included in

Economic Policy Commons , Public Administration Commons , Public Policy Commons

Advanced Search

• Notify me via email or RSS

Browse by Author

• Collections
• Disciplines

Author Corner

• Submit Research

New Title Here

Below. --> connect.

• Law Library
• Special Collections
• Copyright Resource Center
• Scholars@UK

• We’d like your feedback

Home | About | FAQ | My Account | Accessibility Statement

Privacy Copyright

University of Kentucky ®

An Equal Opportunity University Accreditation Directory Email Privacy Policy Accessibility Disclosures

U.S. Department of the Treasury

Financing the government.

The Treasury Department's primary goal in debt management policy is to finance the government at the lowest cost over time. To meet this objective we issue debt in a regular and predictable manner, provide transparency in our decision-making, and seek continuous improvements in the auction process. In creating and executing our financing plans, we must contend with various uncertainties and potential challenges, such as unexpected changes in our borrowing needs, changes in the demand for our securities, and anything that inhibits efficient and timely sales of our securities. To manage these risks, we closely monitor economic conditions, fiscal policy, and market activity, and, where appropriate, respond with appropriate changes in debt issuance based on our analysis and consultation with market participants.

Treasury Quarterly Refunding

Changes in debt management policy are generally informed by and communicated through the quarterly refunding process near the middle of each calendar quarter.

Interest Rate Statistics

On a daily basis, Treasury publishes Treasury Yield Curve Rates, Treasury Real Yield Curve Rates, Treasury Bill Rates, Treasury Long-Term Rates and Extrapolation Factors, and Treasury Real Long-Term Rate Averages.

Treasury Marketable and Non-Marketable Securities

Treasury finances the government’s expenditures by issuing marketable securities through regular auctions, and non-marketable securities through a variety of programs and distribution methods.

Treasury Investor Data

Data and Statistics relating to Treasury securities relevant  to Treasury investors.

Debt Management Research

Papers and presentations on a variety of issues related to Treasury Debt Management.

Government Finance in the Wake of Currency Crises

This paper addresses two questions: (i) how do governments actually pay for the fiscal costs associated with currency crises; and (ii) what are the implications of different financing methods for post-crisis rates of inflation and depreciation? We study these questions using a general equilibrium model in which a currency crisis is triggered by prospective government deficits. We then use our model in conjunction with fiscal data to interpret government financing in the wake of three recent currency crises: Korea (1997), Mexico (1994) and Turkey (2001).

• Acknowledgements and Disclosures

MARC RIS BibTeΧ

Download Citation Data

Published Versions

More from nber.

In addition to working papers , the NBER disseminates affiliates’ latest findings through a range of free periodicals — the NBER Reporter , the NBER Digest , the Bulletin on Retirement and Disability , the Bulletin on Health , and the Bulletin on Entrepreneurship  — as well as online conference reports , video lectures , and interviews .

Public finance and budgets

Countries across the OECD are facing long-term fiscal pressures in areas such as health, ageing, climate change, and defence. At the same time, governments must grapple with mounting debt levels, rising interest rates and high levels of uncertainty. In this increasingly constrained fiscal environment, reconciling new and emerging spending pressures with already stretched public finances requires high-quality budget institutions and processes.

Select a language

Key messages, oecd countries are facing long-term fiscal pressures..

The long-term fiscal pressures associated with climate change and reducing greenhouse gas emissions; ageing populations and shrinking labour supply; and rising health care and social care costs continued to mount. Interest expenditures are now increasing significantly. The current geopolitical tensions are adding further new spending pressures, including in the defence area, as well as greater economic uncertainty.

Reconciling these pressures with already stretched public finances requires high quality budget institutions and strengthened public understanding

Budgets are about more than money. They are a statement of a nation’s priorities. Engagement and oversight of the budget process by Independent Fiscal Institutions, parliaments and the public is fundamental to democratic governance and trust in government. Empowering the public to understand fiscal challenges is essential for generating the will to solve them

Governments must have credible public financial management frameworks to build trust in budgetary governance and maintain enough fiscal space to be able to finance crisis responses when needed.

Governments must have credible public financial management frameworks to build trust in budgetary governance and maintain enough fiscal space to finance crisis responses when needed.

Each of the crises of recent years has shown the importance of preserving the resilience of public finances; countries need to be able to finance large and unexpected expenditures, such as in the aftermath of major natural disasters, to support a distressed sector or to address the consequences of a major pandemic. However, debt levels in OECD countries have risen significantly in recent years.  

General government expenditures amounted to 46.3% of GDP on average across OECD countries in 2021

Between 2019 and 2021 general government expenditures as a percentage of GDP increased by 5.4 percentage points, from 40.9% in 2019. This  increase is largely explained by the COVID-19 pandemic, which led to significant economic disruption. This prompted  large-scale fiscal stimuluses, including increased spending on healthcare, social welfare programmes, and support for businesses and individuals affected by the pandemic, while at the same time GDP was falling.  

General Fiscal Balance

The fiscal balance is the difference between a government’s revenues and its expenditures. It signals if public accounts are balanced or if there are surpluses or deficits. Recurrent deficits over time imply the accumulation of public debt and may send worrying signals to consumers and investors about the sustainability of public accounts which, in turn, may deter consumption or investment decisions. Nonetheless, if debt is kept at a sustainable level, deficits can help to finance necessary public investment, or in exceptional circumstances, such as unexpected external shocks (e.g. pandemics, wars or natural disasters), can contribute to maintaining living conditions and preserving social stability. 

Related data

Related publications.

Related policy issues

• Fiscal Frameworks Fiscal frameworks outline the government's fiscal intentions and explain how these will be implemented concretely. Well-designed fiscal frameworks provide clarity and stability in government fiscal operations, ensuring that spending on policy priorities of governments, like healthcare, education, and climate adaptation, are funded and sustainable. Additionally, they build resilience by helping governments prepare effectively for economic challenges. Learn more
• Fiscal federalism network The OECD Network on Fiscal Relations across Levels of Government, also known as the “Fiscal Network”, provides a platform for countries to engage on intergovernmental fiscal relations and fiscal decentralisation policy issues. Its core mission is to improve the efficiency, equity and stability of fiscal systems through cross-country policy analysis and international comparisons. The Network facilitates best practice sharing through high-level meetings and maintaining a comprehensive decentralisation database, informing policymaking and reforms. Through collaborative efforts like workshops and the Fiscal Federalism publication series, the Network enables policymakers to access and contribute to research and insights on managing financial relationships across government levels. Supported by a multidisciplinary OECD team, the Network emphasises concrete outcomes, offering members a structured environment to learn, share and apply successful policy strategies. Learn more
• Gender budgeting Gender budgeting is a public governance tool that governments can use to assess how budget decisions impact gender equality. When implemented effectively, gender budgeting helps expose how gender inequalities may have inadvertently become embedded in public policies and the allocation of resources and promotes budget measures that will be effective at closing gender gaps. Learn more
• Green budgeting Green budgeting uses the tools of budgetary policy making to provide policy makers with a clearer understanding of the environmental and climate impacts of budgeting choices, while bringing evidence together in a systematic and co-ordinated manner for more informed decision making to fulfil national and international commitments. Learn more
• Health budgeting Without a major policy shift, health spending is projected to outstrip both expected growth in the overall economy and in government revenues across OECD countries. Competing priorities for government spending are also squeezing health budgets. Urgent action is therefore needed to finance more resilient health systems while ensuring the fiscal sustainability of health systems. Learn more
• Parliamentary budget offices and independent fiscal institutions Our work with parliaments and independent fiscal institutions (IFIs) supports fiscal transparency and accountability. At a time when the sustainability of public finances is under close scrutiny, these oversight institutions play a crucial role in raising the quality of the debate on fiscal policy and ensuring that public budgets are managed effectively. Learn more
• Performance budgeting In an environment of budget constraints and high citizen expectations it is necessary to demonstrate that public expenditure is providing value for money and delivering on performance. The availability of good-quality performance information not only assists policymakers in making more informed budgetary decisions but also enables the broader public to hold the government accountable for delivering the outcomes promised to citizens. Learn more
• Public accounts Good management of public money is vital for good governance, ensuring essential services like healthcare and education run smoothly. Public accounts track government income and spending, they show how money is managed and if the government can fund these crucial services. Learn more
• Public debt management Prudent public debt management is critical for well-functioning national financial systems and helps to reinforce sound fiscal and monetary policies. Public debt portfolios, both in terms of their size and composition, have the potential to generate substantial risk to countries’ balance sheets and overall financial stability. The OECD promotes good practices in public debt and risk management and provides recommendations to assist policy makers in their efforts to adopt and implement prudent debt management policies. Learn more
• Spending Reviews Spending reviews are tools for systematically analysing the government’s existing expenditure. The OECD has found that spending reviews have proved to be an important tool for governments, not only to control total expenditure by making space for more resources, but also to align spending allocations with government priorities and to improve the effectiveness of policies and programmes. Learn more

• Institutional Influences on Local Government Finance in Three Essays

• All Rights Reserved
• Shumberger, Jason D (Author)
• Singla, Akheil (Thesis advisor)
• Bretschneider, Stuart (Thesis advisor)
• Swindell, David (Committee member)
• Arizona State University (Publisher)
• Public Administration
• public policy
• Political Science
• institutionalism
• property taxes
• revenue forecasting
• tax and expenditure limitations
• Partial requirement for: Ph.D., Arizona State University, 2021
• Field of study: Public Administration and Policy

View full metadata

Machine-readable links

• OAI Dublin Core

Quick actions

Finance Essay Topics

Step Up Your Game with These 200 Unique Finance Essay Topics

12 min read

Published on: May 7, 2023

Last updated on: Jan 31, 2024

Share this article

Do you find yourself struggling to come up with a compelling topic for your finance essay? Are you feeling overwhelmed by the complex landscape of financial markets and policies?

If so, don't worry – you're not alone!

Choosing the right topic is crucial for the success of your essay. You need to find a problem that is both relevant and interesting, and that you can feasibly research and analyze. 

But with so many potential topics to choose from, where do you even start?

That's where we come in!

In this blog, we'll provide you a variety of finance essay topics that will help you stand out from the crowd. 

We'll also provide you with tips to polish your ideas, so you can craft a truly compelling essay.

So, let's dive into the fascinating world of finance essay topics and discover new insights together!

On This Page On This Page -->

Corporate Finance Essay Topics 

If you are interested in how companies manage their financial resources, corporate finance may be the field for you. 

Here are essay topics related to corporate finance:

• Analyzing the impact of dividend policies on shareholder value
• Evaluating the use of financial derivatives to manage corporate risk
• Assessing the impact of mergers and acquisitions on firm performance
• Investigating the role of corporate governance in preventing financial scandals
• Analyzing the relationship between corporate social responsibility and financial performance
• Examining the effects of financial distress on corporate decision-making
• Evaluating the impact of exchange rate fluctuations on multinational corporations
• Assessing the effectiveness of performance-based compensation for CEOs
• Analyzing the impact of technological innovation on corporate financial performance
• Investigating the effectiveness of financial forecasting models for strategic decision-making

Personal Finance Essay Topics 

Managing personal finances can be challenging, especially in today's economy. Check out these personal finance essay topics:

• Analyzing the impact of credit scores on loan approval rates
• Evaluating the effectiveness of budgeting tools and apps for personal finance management
• Investigating the impact of financial literacy on retirement planning
• Analyzing the benefits and drawbacks of using a financial advisor
• Assessing the effectiveness of debt consolidation strategies for managing multiple loans
• Examining the impact of rising healthcare costs on retirement planning
• Evaluating the effectiveness of online investment platforms for small investors
• Analyzing the impact of financial stress on mental health
• Investigating the effectiveness of online personal finance courses for improving financial literacy
• Assessing the impact of tax policies on personal savings rates

Banking and Finance Essay Topics 

• The role of central banks in managing monetary policy
• The impact of Basel III on banking regulation
• The effectiveness of risk management in commercial banks
• The effects of bank mergers and acquisitions on competition
• The relationship between credit risk and profitability in banking
• The role of fintech in transforming the banking industry
• The impact of financial innovation on banking operations
• The impact of non-performing loans on banking stability
• The challenges of bank regulation in the digital age

Business Finance Essay Topics

• The impact of leverage on firm performance
• The role of financial ratios in evaluating business performance
• The effects of working capital management on profitability
• The impact of dividend policy on shareholder value
• The relationship between corporate governance and financial performance
• The role of venture capital in financing new businesses
• The challenges of international business finance
• The effects of trade credit on small business financing
• The impact of intellectual property on business valuation
• The role of microfinance in supporting small businesses  

Public Finance Essay Topics

• The role of government in promoting economic growth
• The impact of taxation on income inequality
• The effects of fiscal policy on aggregate demand
• The role of public-private partnerships in infrastructure finance
• The impact of government debt on economic stability
• The challenges of financing social security systems
• The role of subsidies in promoting renewable energy
• The impact of globalization on public finance
• The challenges of public finance in developing countries
• The impact of climate change on public finance

Accounting and Finance Essay Topics 

• The impact of financial reporting on investor decisions
• The role of accounting standards in financial reporting
• The effects of fair value accounting on financial statements
• The relationship between corporate governance and financial reporting quality
• The impact of financial statement analysis on investment decisions
• The challenges of auditing in the digital age
• The role of forensic accounting in fraud detection
• The impact of tax accounting on corporate finance
• The challenges of accounting for intangible assets
• The effects of accounting regulations on multinational corporations

Paper Due? Why Suffer? That's our Job!

International Finance Essay Topics 

• The impact of exchange rate volatility on international trade
• The role of international financial institutions in promoting economic development
• The effects of capital flows on emerging market economies
• The impact of currency manipulation on trade balance sheets
• The relationship between foreign direct investment and economic growth
• The challenges of cross-border banking regulation
• The role of international capital markets in financing global infrastructure
• The impact of trade policies on international finance
• The effects of globalization on international financial stability
• The role of sovereign wealth funds in global finance

Behavioral Finance Essay Topics

If you are interested in this field, consider exploring these essay topics:

• Analyzing the impact of herd behavior on stock market bubbles
• Evaluating the effectiveness of financial education in reducing cognitive biases
• Investigating the impact of overconfidence on investment decision-making
• Analyzing the role of emotions in financial decision-making
• Assessing the impact of loss aversion on portfolio management
• Examining the effects of framing on financial decision-making
• Evaluating the effectiveness of behavioral finance theories in predicting market trends
• Analyzing the impact of social norms on financial decision-making
• Investigating the effectiveness of nudges in promoting financial well-being
• Assessing the impact of cultural differences on behavioral finance

Healthcare Finance Essay Topics 

• The impact of healthcare financing on access to healthcare services
• Healthcare cost control strategies and their effectiveness in improving healthcare quality
• Analyzing the role of health insurance in healthcare financing
• The relationship between healthcare financing and health outcomes
• The effect of healthcare financing on health inequalities
• The role of public-private partnership (ppp) in healthcare financing
• The impact of healthcare financing on technological advancements in healthcare sector
• Healthcare financing policies in addressing the burden of non-communicable diseases 
• The relationship between healthcare financing and social protection
• The role of healthcare financing in achieving universal health coverage

Good Finance Essay Topics

• The impact of the gig economy on personal finance management
• The role of technology in shaping the future of finance
• Analyzing the ethics of tax avoidance and tax evasion in the corporate world
• The importance of financial education in modern society
• A comparative analysis of the effectiveness of traditional and digital banking systems
• The role of behavioral finance in shaping investment strategies
• The impact of social media on the stock market
• Analyzing the ethical dilemmas of investment banking
• The role of financial institutions in promoting economic growth and development
• A critical analysis of the effectiveness of microfinance in poverty alleviation

Finance Paper Topics

• The impact of corporate social responsibility on financial performance
• The role of financial regulation in preventing another global financial crisis
• The impact of inflation on the stock market
• Analyzing the financial implications of climate change
• The effectiveness of alternative financing methods for small businesses
• The impact of political instability on international finance
• Analyzing the effectiveness of crowdfunding platforms
• The role of credit rating agencies in the financial market
• The impact of e-commerce on the retail banking industry
• A comparative analysis of the financial performance of publicly traded and privately held companies

Finance Essay Questions

Looking for some interesting finance essay questions to explore new ideas? Check them out:

• How does the stock market reflect the state of the economy?
• What are the ethical implications of insider trading?
• How do interest rates affect the global economy?
• What are the advantages and disadvantages of investing in the stock market?
• How has technology transformed the financial services industry?
• What is the impact of globalization on international finance?
• How can financial institutions promote financial inclusion and literacy?
• What are the challenges of managing personal finances in today's society?
• How can behavioral finance concepts be applied to investment strategies?
• What are the key factors that contribute to financial market instability?

Finance Argumentative Essay Topics

• Should governments regulate cryptocurrency?
• Is it ethical for companies to use tax loopholes to avoid paying their fair share?
• Should banks be held responsible for the global financial crisis of 2008?
• Is the current student loan system fair to borrowers?
• Should there be limits on CEO salaries in the finance industry?
• Is insider trading ever justified?
• Should the government provide free financial education to the public?
• Is the stock market an accurate reflection of the economy as a whole?
• Should high-frequency trading be allowed?
• Is it ethical for companies to invest in environmentally harmful industries?

Financial Related Essay Topics

• The importance of financial planning for a secure financial future
• Efficient market hypothesis and its implications for investment decision making
• The impact of globalization on financial markets and the economy
• An analysis of the impact of interest rates on the housing market
• The role of financial institutions in promoting economic growth
• The ethics of corporate finance and its impact on corporate social responsibility
• The role of central banks in regulating the economy
• The impact of financial regulation on the banking sector
• The role of financial markets in facilitating international trade

Research Topics in Finance

• An analysis of the impact of exchange rate fluctuations on international trade
• The effectiveness of credit rating agencies in predicting corporate default risk
• The impact of corporate governance on firm performance
• An analysis of the impact of financial innovation on the banking sector
• The relationship between dividend policy and firm value
• The role of financial intermediaries in promoting entrepreneurship
• The impact of insider trading on stock prices
• The impact of political instability on financial markets
• The role of microfinance in promoting financial inclusion
• An analysis of the impact of corporate social responsibility on firm performance

Financial Crisis Research Paper Topics

Let's delve into the world of finance and crisis with these topics!

• The causes of the 2008 financial crisis and its impact on the global economy
• An analysis of the regulatory failures that led to the 2008 financial crisis
• The role of the housing market in the 2008 financial crisis
• The impact of the 1997 Asian financial crisis on emerging economies
• The impact of the European sovereign debt crisis on the Eurozone economy
• The role of financial institutions in the 2011 European debt crisis
• The impact of the 2020 COVID-19 pandemic on the global economy
• Troubled Asset Relief Program (TARP) in stabilizing the US financial system 
• The impact of the 1970s oil crisis on the global economy and financial markets
• The lessons learned from past financial crises and their implications for future 

Financial Management Essay Topics

• The role of financial management in a company's success
• Analyzing the financial risks and rewards of different investment strategies
• The impact of globalization on financial management practices
• The importance of financial forecasting for business planning and decision-making
• How financial management practices can be used to mitigate financial risks
• The role of financial management in mergers and acquisitions
• Best practices for managing cash flow in small businesses
• The impact of interest rates on financial management decisions
• The challenges and opportunities of managing finances in non-profit organizations
• The use of financial ratios and other analytical tools in financial management

Exciting Financial Essay Topics

• How to create a successful personal finance plan for long-term financial security
• Investigating the role of fintech in shaping the future of the financial industry
• The ethical implications of corporate social responsibility in financial decision-making
• Analyzing the impact of COVID-19 on global financial markets and economies
• Exploring the potential benefits and risks of investing in emerging markets
• Investigating the use of big data and AI in financial decision-making
• The future of digital currencies and their impact on traditional financial systems
• The role of financial regulation in preventing financial crises and promoting stability
• Analyzing the impact of interest rate fluctuations on personal and corporate finances
• Investigating the use of blockchain technology in financial transactions

Investment Essay Topics

• Analyzing the impact of diversification on portfolio management
• Evaluating the effectiveness of value investing strategies
• Investigating the impact of market volatility on investment performance
• Analyzing the role of financial advisors in investment decision-making
• Assessing the effectiveness of socially responsible investing strategies
• Examining the effects of behavioral biases on investment performance
• Evaluating the impact of technological innovation on investment management
• Analyzing the effectiveness of momentum investing strategies
• Investigating the impact of interest rates on investment performance
• Assessing the effectiveness of robo-advisors in portfolio management

Tips for Choosing a Good Finance Essay Topic 

When it comes to writing a finance essay, choosing a good topic is crucial to the success of your paper. 

To help you select the best finance essay topic, here are some tips:

• Consider your Interests: Start by thinking about your personal interests and passions. Choosing a topic that you're genuinely interested in can help you stay motivated. It will kep you engaged throughout the writing process.
• Narrow your Focus: Finance is a broad field. It's important to narrow down your topic to a specific aspect or subtopic. This will help you focus your research and ensure that your essay has a clear and concise argument.
• Research Current Events: Stay up to date with current financial news and trends. This can help you identify emerging issues and topics that are relevant and timely.
• Look for Controversy: Controversial topics can make for compelling essays, but be careful to approach them with objectivity and balance. Avoid taking extreme positions or relying on biased sources.
• Consider your Audience: Think about your intended audience and what topics may be of interest or relevance to them. This can help you tailor your essay to their needs and expectations.

All in all , finance is a vast and complex field with many opportunities for research and exploration. To create a well-written essay, it's important to select a topic that aligns with your interests. By following these steps, you can showcase your knowledge and understanding of finance.

Feeling overwhelmed with your academic workload? Let us take the burden off your shoulders – simply say, " write my essay for me ," and we'll deliver top-quality essays tailored to your needs.

But that's not all; for those looking to enhance their writing experience, don't forget to explore our essay writer AI tool.

Barbara P (Literature)

Barbara is a highly educated and qualified author with a Ph.D. in public health from an Ivy League university. She has spent a significant amount of time working in the medical field, conducting a thorough study on a variety of health issues. Her work has been published in several major publications.

Paper Due? Why Suffer? That’s our Job!

Legal & Policies

• Privacy Policy
• Cookies Policy
• Terms of Use
• Refunds & Cancellations
• Our Writers
• Success Stories
• Our Guarantees
• Affiliate Program
• Referral Program
• AI Essay Writer

Disclaimer: All client orders are completed by our team of highly qualified human writers. The essays and papers provided by us are not to be used for submission but rather as learning models only.

Ethics in Government Finance

• Reference work entry
• First Online: 01 January 2018
• pp 1972–1981
• Cite this reference work entry

• Robert W. Smith 2  

97 Accesses

Ethics is a thread that runs through all disciplines and professions. Acting ethical is a paradigm that is expected as a hallmark or mainstay of the professions. Equally ethics is compartmentalized. There are medical ethics, journalistic ethics, government ethics, and military ethics to name a few specializations. And there are many divergent yet interrelated definitions of ethics. This entry will not overanalyze nor simplify a treatment of “ethics” and will only offer some grounding points for a conceptual definition of ethics applied to government finance. Yet the importance of an ethical compass to guide the theory and practice of public finance is paramount given the analytic, financial, and political dimensions of the field. Indeed the trust placed in the efficient utilization of the purse to achieve public purposes is a hallmark to democratic governance in its most basic form.

Government finance as a field, inclusive of the budgeteers, accountants, government finance officers and...

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Subscribe and save.

• Get 10 units per month
• Download Article/Chapter or Ebook
• 1 Unit = 1 Article or 1 Chapter
• Cancel anytime
• Available as PDF
• Read on any device
• Instant download
• Own it forever
• Available as EPUB and PDF

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Alexander J (1999) A new ethics of the budgetary process. Adm Soc 31:542–565

Article   Google Scholar  

Argyris C (1964) Integrating the individual and the organization. Wiley, New York

Google Scholar  

Baldassare M (1998) When governments fail: the Orange County bankruptcy. University of California Press, Berkeley

Book   Google Scholar  

Bartle J (2000) Budgeting, policy and administration: pattern and dynamics in the U.S. Int J Public Adm 23:2133–2142

Budget and Emergency Deficit Control Reaffirmation Act of 1987 (Pub.L. 100–119, title I, Sept. 29, 1987, 101 Stat. 754, 2 U.S.C. § 900)

Burkhead J (1956) Government budgeting. Wiley, New York

Cyret RM, March JG (1963) A behavioral theory of the firm. Prentice-Hall, Englewood Cliffs

Douglas PC, Weir B (2000) Integrating ethical dimensions into a model of budgetary slack creation. J Bus Ethics 28:267–278

Ebdon C (2002) Beyond the public hearing: citizen participation in the local government budget process. J Public Budget Account Finan Manag 14(2):273–294

Entire Issue dedicated to Ethics and public budgeting and financial management in global virtue ethics review, vol 2(3), July 2000 edited by Aimee Franklin and James Fielding Smith

Fenno R (1966) The power of the purse: appropriation politics in congress. Little, Brown & Company, Boston

Government Finance Officers Association of South Carolina (2000) Code of ethics. http://www.state.sc.us/gfoa/coe.htm

Gulick L, Urwick L (eds) (1937) Papers on the science of administration. Augustus Kelley Publishers, New York

H.R. 3982 (97th): Omnibus Budget Reconciliation Act of 1981

Jones LR, Euske KJ (1991) Strategic misrepresentations in budgeting. J Public Adm 1:437–460

Key VO (1940) Lack of a budgetary theory. Am Polit Sci Rev 34:1137–1144

Lewis CL (1997) Power without privilege: ethics in public budgeting and financial management. In: Golembiewski RT, Rabin J (eds) Public budgeting and finance. Marcel Dekker, New York, pp 211–225

Lynch T (1979) Public budgeting in America. Prentice-Hall Publishers, Englewood Cliffs

McCurdy MK, Reichardt KE, Schroeder DL (1993) Ethical pressures: fact or fiction? Manag Account 74:57–62

Miller GL, Yeager SJ, Hildreth WB, Rabin J (2005) How financial mangers deal with ethical stress. Public Adm Rev 65(3):301–312

National Association of State Budget Officers (1999) Diagnostic instrument. http://academic.evergreen.edu/curricular/atpsmpa/NASBO%20training_modules.pdf

National Association of State Budget Officers (2000) Ethics and standards of professional conduct. Training Program. http://curricula.mit.edu/~nasbo/content.html

Omnibus Budget Reconciliation Act of 1981.Pub. L. 97–35, Aug. 13, 1981, 95 Stat. 357

Participatory Budgeting. www.participatorybudgeting.org/ . Accessed on 30 Sept 2014

Patashnik EM (2000) Budgeting more, deciding less. Public Interest (Winter) (138):65–76

Ponemon LA (1992) Ethical reasoning and selection-socialization in accounting. Acc Organ Soc 17:239–258

Public Law 93–344, July 12, 1974, 88 Stat. 297

Public Law 99–177-December 12, 1985

Pyhrr PA (1973) Zero base budgeting. Wiley, New York

Quinn RE, Rohrbaugh J (1983) A spatial model of effectiveness criteria: towards a competing values approach to organizational analysis. Manag Sci 29:363–377

Rabin J (1997) The budgetary time line: history is destiny. In: Golembiewski RT, Rabin J (eds) Public budgeting and finance. Marcel Dekker, New York, pp 7–68

Reck JR (2000) Ethics and budget allocation decisions of municipal budget officers. J Bus Ethics 24:335–350

Robbins MD, Simonsen B, Feldman B (2008) Citizens and allocation: improving decision making with interactive web-based citizen participation. Public Adm Rev 68(3):564–575

Rohr J (1989) Ethics for bureaucrats: an essay on law and values. CRC Press, Boca Raton

Rossman D, Shanahan EA (2012) Defining and achieving normative democratic values in participatory budgeting processes. Public Adm Rev 72(1):56–66

Schick A (1980) Congress and money: budgeting, spending, and taxing. The Brookings Institute, Washington, DC

Simon H (1945) Administrative behavior. The Free Press, New York

Simon H, Kozmetsky G, Guetzkow H, Tyndall G (1997) Management uses of figures. In: Golembiewski RT, Rabin J (eds) Public budgeting and finance. Marcel Dekker, New York, pp 203–210

Sintomer Y, Herzberg C, Rocke A (2008) Participatory budgeting in Europe: potentials and challenges. Int J Urban Regional Res 32(1):164–178

Stockman D (1986) The triumph of politics. Harper & Row, New York

Swope C (1999) Ohio Guards against fiscal follies. Governing Magazine, September, p 58.

The Budget and Accounting Act of 1921 (Pub.L. 67–13, 42 Stat. 20, enacted June 10, 1921)

U.S. Public Law 863 (1956) 62nd Congress

United States Commission on Organization of the Executive Branch of the Government (1949) Budgeting and accounting. U.S. Government Printing Office, Washington, DC

United States Congress (1955) Report of the Committee on Government Operations made by its Subcommittee on Reorganization. United States 85th Congress, 1st session

White LD (1926) Introduction to the study of public administration, 4th edn. Macmillan, New York

Wildavsky A (1974) The politics of the budgetary process, 2nd edn. Little, Brown & Company, Boston

Willoughby WF (1927) The legal status and functions of the general accounting office of the national government. John Hopkins Press, Baltimore

Download references

Author information

Authors and affiliations.

Savannah State University, Savannah, GA, USA

Robert W. Smith

You can also search for this author in PubMed   Google Scholar

Corresponding author

Correspondence to Robert W. Smith .

Editor information

Editors and affiliations.

Florida Atlantic University, Boca Raton, FL, USA

Ali Farazmand

Rights and permissions

Reprints and permissions

Copyright information

© 2018 Springer International Publishing AG, part of Springer Nature

About this entry

Cite this entry.

Smith, R. (2018). Ethics in Government Finance. In: Farazmand, A. (eds) Global Encyclopedia of Public Administration, Public Policy, and Governance. Springer, Cham. https://doi.org/10.1007/978-3-319-20928-9_2377

Download citation

DOI : https://doi.org/10.1007/978-3-319-20928-9_2377

Published : 16 June 2018

Publisher Name : Springer, Cham

Print ISBN : 978-3-319-20927-2

Online ISBN : 978-3-319-20928-9

eBook Packages : Economics and Finance Reference Module Humanities and Social Sciences Reference Module Business, Economics and Social Sciences

Share this entry

Anyone you share the following link with will be able to read this content:

Sorry, a shareable link is not currently available for this article.

Provided by the Springer Nature SharedIt content-sharing initiative

• Publish with us

Policies and ethics

• Find a journal
• Track your research

155 Financial Crisis Essays & Examples

Looking for finance essay topics? You’re in the right place! The subject of financial economics is worth exploring.

💸 Top 10 Finance Essay Topics

🏆 top financial crisis essay examples, 💰 financial crisis essay topics, 👍 financial crisis research paper topics, 🏧 exciting financial essay topics, 📑 financial crisis topics for essays, ❓ research questions about financial crisis.

A financial crisis means massive depreciation of financial assets. It usually happens in the forms of banking, currency, and debt crises. Though the issue is studied well, financial crises still occur in various parts of the world.

In your finance crisis essay, you might want to focus on financial management in turbulent periods. Another idea is to discuss what it takes to survive a global financial crisis. One more option is to compare various types of financial crises. Whether you are assigned an argumentative essay, analytical paper, or research proposal, this article will be helpful. Here we’ve collected financial crisis research paper topics, current essay titles, writing tips, and financial crisis essay samples.

• The financial system and its components
• The role of investors in the financial system
• Personal, corporate, and public finance
• Financial risk management
• Quantitative finance and financial engineering
• Behavioral finance: the psychology of investors
• Early history of finance
• History and development of money
• Experimental finance and its goals
• Mathematical modeling in financial markets analysis
• Financial Crisis of 2007-2008 in ‘The Big Short’ Movie Michael predicted that it would devaluate mortgage bonds and, therefore, decided to short the housing market, that is, to bet on the market crash.
• 2008 Financial Crisis in Dubai In order to address the collapse in the real estate market observed in Dubai in 2008, the Emirate’s authorities focused on elaborating stricter regulations on developers of the housing projects and on the buyers. 26 […]
• Impact of World Financial Crisis on the UAE Economy The decline in economic growth was reflected in the significant reduction in the country’s GDP. However, the profitability and growth of the sector reduced substantially in 2009 due to the following factors.
• Causes and Solutions of the 2008 Financial Crisis The current essay describes the causes of the Financial Crisis of 2008 and the solutions suggested by the Keynesian school of thought.
• The effect of global financial crisis on Saudi Arabian economy The countries stability of the banking sector was also seen in the change in banking activities over the period of global financial crisis, the country recorded the worst banking growth rate in the years between […]
• General Electric and the Financial Crisis of 2008 Although GE’s success is often attributed to the significant amount of financial assets that the company has, it owes its survival through the 2008 crisis to the careful and well-thought-out plan of investing in the […]
• The Global Financial Crisis and Its Impacts In addition, a case of a company is studied to evaluate the impact of GFC on a particular firm, and consider the capability of the firm to survive the crisis.
• ‘What Went Wrong? An Initial Inquiry into the Causes of the 2008 Financial Crisis’ Additionally, failures at the managerial group also resulted in the crash as it led to a re evaluation of the cost of the agencies by the investors.
• Social Distancing, Financial Crisis and Mental Health The lockdown leads to the inability of people to go to the hospital for mental health consultation and treatment due to the anti-COVID measures. It is possible to talk about the spread of mental health […]
• Aspects of the 2008 Financial Crisis According to Eisinger, none of the participants in the story in the film had any idea of the coming crisis. One of the connections between the film and the textbook is that of corporate social […]
• Essential Points From the Financial Crisis The first important point on slide 10 is the failure to penalize the originator for passing the mortgage to the provider.
• Argentina and Russia’s Financial Crisis Investors’ loss of faith in the Russian economy caused them to sell their Russian holdings, lowering the value of the Russian rouble and raising fears of a financial crisis.
• Ethical Questions in the 2008-2009 Financial Crisis What followed was an investigation of the genesis of the crisis, which revealed that catastrophic failure in oversight, the systemic weakening of usury laws, and outright thuggery by banks and mortgage salespeople were the major […]
• The 2008 Financial Crisis and Housing Policies Under the State Department of Housing and Urban Development, the government introduced the Section 8 Voucher. The function of this voucher was to meet the gap between what the renters would get and the actual […]
• 2008 Financial Crisis from a Neoliberal Perspective While such a position seems reasonable, the overall adherence of the financial system, including accounting and auditing, contributed to the crisis due to the unbearable level of loans and fictitious assets dominating the business.
• Corporate Social Capital During Financial Crisis The credit crisis related to the mortgage problem in 2008 has been one of the massive financial issues of the world since the times of the Great Depression.
• 2008 Global Financial Crisis in Andrew Sorkin’s “Too Big to Fail” The book Too Big to Fail: The Inside Story of How Wall Street and Washington Fought to Save the Financial System from Crisis and Themselves, written by Andrew Ross Sorkin, explores the events and consequences […]
• Financial Crisis in Greece It is doubtless that the value of money is essential in determining a number of factors like the stability of the economy and inflation.
• The Euro Financial Crisis Causes and Outcomes The involvement of the central banks of is an attempt to demonstrate that all the central bankers are collaborating. The Euro crisis has exarcebated the currency swap process as it is now more expensive to […]
• The 2007 Financial Crisis: Development of the Prices of Shares, Corporate Bonds and Loans The crippling of the financial system in the US and the UK in the period beginning late 2007 was a product of crippling loans.
• Challenges Facing College Sports After Financial Crisis When the housing bubble caused financial depression in the national economy, colleges and universities were some of the most affected institutions, especially because the state and federal legislatures were forced to cut funding, the major […]
• How Money Market Mutual Funds Contributed to the 2008 Financial Crisis While how the prices of shares fell below the set $1 per share was a complex process, it became one of the greatest systemic risks posed by the MMMF to the investors and the economy […]
• How Quantitative Models Contribute to the Financial Crisis The motivation behind this study lies in the desire to understand why and how the economies of many countries around the world, especially in the Middle East, have been shaken to the core by the […]
• South Africa’s Response to Global Financial Crisis Desire to the achieve objective that duly fulfils the needs of an individual while being disadvantageous to the majority of individuals led to the crisis.
• Global Financial Crisis Impact on Multi-Nationals The credit crisis was linked to the sub-prime mortgage business. So as to encourage lending, the interest rates were also lowered credibly.
• Qantas’ Actions in the Financial Crisis Context The actions taken by Qantas in reducing their costs can be said to be influenced by the global financial crisis, where the decline of the number of passengers in September 2009 was 0.
• Prospects for Chindia After 2008 Global Financial Crisis According to the Australian business press, the recent economic growth achieved was a result of the relationship between itself and the two countries i.e. However, China experienced a hitch on its international markets especially in […]
• The Investment Industry in Kuwait Today (During Financial Crisis) One of the confessions was that the investment authority of Kuwait otherwise known as would not be in a position to provide financial support that would assist in the restoration of confidence that was already […]
• Financial Crisis Management in the United Nations A crisis can be defined as the perception of an abnormal situation that is beyond the capability of the business and its scope to deal with.
• Lehman Brothers and the 2008 Financial Crisis As a result, when the management of the bank expected assistance from other firms and the Bank of America, it did not receive the help it needed.
• 2008 Global Financial Crisis: Crises of Capitalism? Although I had an idea of the possible catalysts of the 2008 global financial meltdown before watching the video, Harvey presented a clear report of the events that occurred before the crisis and put them […]
• Corporate Government During the World Financial Crisis The chairman is the leader of the board of directors while the CEO is the person who oversees the day to day activities of the company; each of them performs a distinct and critical role […]
• Corporate Governance During the Global Financial Crisis The chairman of the board of directors is the leader of both the board and the company whereas the CEO is the person who oversees the day-to-day activities of the company.
• Nucor Corporation After Financial Crisis in the US However, in 2009, the company made the largest loss in its history of $299 million; the loss was the first annual loss since 1966. The depreciated purchasing power parity of the people in 2009 is […]
• Global Financial Crisis and Its Ethical Causes The reason for this is simple the analysis of what had brought about this particular financial crisis and what accounted for the subtleties of its extrication points out to an undeniable fact that it was […]
• Apple and Hewlett Packard During 2008 Financial Crisis Though the general demand has not reached the level it was before the crisis, many companies have taken advantage of the rising demand and have made tremendous sales. However, the company has increased its spending […]
• 2008 Financial Crisis: Kuwait’s Economic Struggle At the year 2008, the intensity of the crisis was at the peak, causing oil prices which led to a decrease in production and drop in GDP of Kuwait.
• Financial Crisis of 2008 Economics specialists have argued that the global financial crisis of 2008 was caused by a combination of factors, including the abundance of cheap credits in the macroeconomic environment as well as counterproductive decision-making in governments […]
• Banking Instability During the Global Financial Crisis Though the combination of aspects that resulted in the banking instability in the course of the global financial crisis had never been witnessed previously, the shift from extreme risk-taking to fiscal chaos was a common […]
• Rotana Company’s Financial Crisis and Culture This statement can be seen as being true to the values of the company and how it addressed the issues caused by the 2008 financial crisis.
• British and Dutch Banks After 2008 Financial Crisis Many countries utilised the opportunity of the crisis to work on improving corporate governance and leadership to avoid similar crises in the future.
• The Global Financial Crisis and Its Effect The latest global financial crisis managed to restart a debate on the value of both the stakeholder as well as shareholder theories. This led to the managers being more attentive to the prices of the […]
• Australian Banks in the Global Financial Crisis To understand how Australian banks managed the GFC, it is essential to pay attention to the very structure of its banking.
• Financial Crisis and Great Recession Causality The financial crisis is typically viewed as a primary factor behind the development of the Great Recession. Instead, the financial crisis of 2008 can be deemed a prerequisite of the Great Recession as well as […]
• Financial Crisis in Ferguson’s “The Ascent of Money” By Ferguson, the main purpose of the historian is to relieve humanity from the financial illusions on the examples of the past.
• Global Financial Crisis and Regulatory Responses In the aftermath of the crisis, the government through the Federal Reserve embarked on a mission to restore these financial institutions to their original position.
• The Shadow Banking System: Financial Crisis Source The so-called shadow banking system, comprised of numerous institutions operating outside the regulated banking system, has undoubtedly contributed greatly to the emergence of the latest global financial crisis.
• Financial Crisis and Its Impact on UAE Construction The determination of this research is to evaluate the enactment of construction corporations in the United Arab Emirates for the period of the pre and post worldwide eras of financial disaster, which is from 2006 […]
• 1997 Asian Financial Crisis and Its Consequences Beja explores the impacts the crisis had on these countries and the outcomes that occurred years after the end of the crisis.
• American Financial Crisis and Its Prevention The interviewee brings about the idea of bureaucracy and political aspects that contributed to the problem, highlighting the corruption and ineffectiveness in the government when bailing out the institutions.
• West Midlands Designers and Architects Ltd: Financial Crisis The second option, which is by merit, will favor the company’s future and also acceptable by a number of the current employees.
• Financial Crisis of 2008 and Consumer Behavior Although the main cause of the global financial crisis that began in 2007 was the bursting of the housing bubble, economists largely agree that the ensuing recession was the outcome of a combination of several […]
• British Airways Performance and Global Financial Crisis This paper analyzes the performance of British Airways’ leadership in the wake of the global financial crisis. BA CityFlyer, which is a subsidiary of the British Airways, dominates operations in the London municipality airport.
• Financial Crisis of 2007-2008: Laws and Policies Nevertheless, one should not assume that the absence of legal safeguards is the only factor that led to this crisis since it is necessary to consider the development of the economy and lack of internal […]
• Financial Crisis in Greece: Origin and Aspects This essay seeks to establish the nature and origin of the crisis, Greece’s advantages and disadvantages in the Eurozone, and Greece’s fiscal policy.
• Austerity Measures after of the World Financial Crisis That is why it becomes obvious that there is a great need in some austerity measures whose main aim is to overcome the results of the world financial crisis and guarantee the stability of the […]
• US Financial Crisis Hit and Its Economy Effect He is an economist and runs a column in the Atlantic magazine on financial matters in the U.S. The article is by Lee Don, a columnist, and journalist in the U.
• The 2008 Financial Crisis In September 2008, the two giant mortgage companies faced the danger of bankruptcy as they had guaranteed close to half of the total mortgages in the US.
• Impact of the Global Financial Crisis on the World The recent global financial crisis happened between the years 2007 and 2008 that was a serious threat to the financial markets in the United States and the rest of the world.
• Effects of Hedge Funds on the Global Financial Crisis The article titled “Do not Blame Hedge Funds for Financial Crisis, Study Says,” in 19th September 2012 issue of the The Wall Street Journal, attempts to remove the hedge fund from blame in the global […]
• Role of International Financial Institutions in 2008 Financial Crisis Even more disappointing is the fact that the financial regulatory standards that were in place were unable to anticipate and therefore avert the ramifications of the financial crisis before it happened as should have been […]
• Global Financial Crisis: Corruption and Transparency Due to the large number of the emerging markets, the global financial regulators lacked a proper mechanism to handle the situation.
• Managing Financial Crises In this line, the financial institutions would have distributed the risk to all the stakeholders. The involvement of many players in the management systems of banks makes it out rightly difficult to blame banks for […]
• Training and Skills Development Programs vs. the Global Financial Crisis The Level of education influences the rate of unemployment in an economy. The increase in gross domestic products is attributed to levels of education and employment.
• The Worst of the Global Financial Crisis Is Still To Come Therefore, considering the numerous flaws that exist in the global economic system and the fact that, most governments have deviated from addressing the real causes of the global financial crisis; hence, formulate strategies of avoiding […]
• The Financial Crisis Impacts on East Asian States The policy response to the currency crisis later led to a crisis in the financial institutions. The financial crisis was similar to the crisis that hit Mexico in 1995 and the difference was only on […]
• States regulatory response to the current financial crisis Having been cited by the International Monetary Fund as the leading contributor towards the world economy in 2007, the onset of the financial crisis meant economic disaster to the state.
• Financial Risk Management: Based on the 2008 Global Financial Crisis While it is believed that the U.S.subprime mortgage market might have prompted the occurrence of the global financial crisis, the primary cause of the crisis was founded on the flawed institutional practices and the instability […]
• The global financial crisis of 2008 The magnitude and the level of disruption of the global economies have led to speculation of various causes that has contributed to its occurrence.
• Carolina Panthers Financial Crisis While it was expected that the team could lose its operating income because of the losses it went through last season, the team emerged as one of the teams that profited greatly in the 2010/2011 […]
• EU Financial Crisis: Risk Management Failures This is for example over- dependence on: the capability of managers to create returns.the merits of financial innovation in efficiently spreading returns and risks in the market, the sufficiency of data and models used for […]
• Public Discourse under the Financial Crisis in the U.S and Canada The number of people that lost their jobs, the number of companies that ran into bankruptcy and dwindled in self-destruction through foreclosures and closures, the amount of money that was pumped into the economy by […]
• Impacts of Financial crisis on Bahrain Impacts of financial crisis on the country’s economy have accelerated debate within the mainstream of economics and many market analysts have devised economic stimulus plan to confront the crisis.
• Effect of Global financial crisis on the Gulf Countries The financial crisis which hit the US in the late months of the year 2007 have over time spread to almost all other countries in the world.
• Cultural Change at Texaco and Financial Crisis The most important and influential challenge was the opportunity to solve the questions of exclusion and discrimination of the minorities and women from the company’s workforce in such high status posts like management.
• After the 2007-2010 Financial Crisis: Across the Chaos and Destruction to the Universal Order Because of the half-baked decisions concerning the integration in the Eurozone had been taken, the Great Britain had to sign the agreement with Brussels concerning the further economical steps, which is likely to drive to […]
• Global Financial Crisis Problems This paper discusses the problem created by the global financial crisis and assesses the viability of the courses of actions taken to counter the problem.
• Global Financial Crisis of 2007-2010 In particular, it has shown that many financial institutions are too much dependent on one another, and the collapse of one organization can result in the collapse of the entire system.
• Eurozone Financial Crisis Henceforth, an analysis is drawn of the causes of crisis in the Eurozone. In addition, the effect of this Eurozone crisis did spread to other countries.
• East Asian Financial Crisis Analysts have argued that the inherent problem with the approach in the region, especially in Japan, was primarily due to much involvement of the government in guiding the free economy.
• The Financial Crisis Causes: Moral Hazard and Adverse Selection The consequences were similar in most parts of the world with the main indicators being debt crises, high unemployment rates, a reduction in the number of home ownership facilities and the demand for the same, […]
• East Asian Financial Crisis of 1997-98 However, the quick actives responses by the states in the region helped in the quick aversion of the crisis and its impacts on the region’s economy.
• American Financial Crisis It discussed the underlying causes of the crisis and the impact it has had on the economy of the United States.
• Short-term decisions lead to the emergence of the global financial crisis Over the years, since the great depression in the 1930’s, the role of management seems to have diverted significantly from expectations as illustrated by the global financial crisis.
• Spain’s Financial Crisis The disproportionate growth in the real estate sector, coupled with the expansion of credit needed to finance it, is at the basis of the economic imbalances.
• Global Financial Crisis Causes and Impacts After a number of years since the first occurrence of the crisis, it is still not possible to explain fully the impact of the global financial crisis because the economic emergency keeps on hindering and […]
• Minsky’s Economic volatility theory as an evaluation of Financial Crisis The modern Marxist, FSA, and organizational Keynesian perspectives associate the causes of the financial slow down with the implementation of the liberal development framework in 1970s when the “Accord of Detroit” development framework was ditched.
• The Global Financial Crisis of 2008-2009 The two key sectors that take the blame for the financial crisis of 2008 and 2009 are the financial sector and the real estate industry.
• Global Financial Crisis Initially, the collapse of AIG, the under-performance of Fallie Mac and Fannie Mac and the merging of the Bank of America and the Merrill Lynch were the start point of the financial problems in the […]
• Global Financial Crisis of the United States Mortgage Industry The deterioration of economies called for government to take fast and immediate measures to rescue their nations; the United Nations for instance had to make policies that protected its local industry from the adverse effects […]
• What Caused the 2008 Financial Crisis in the USA? The opposite trends in the cost of mortgage credit and the housing prices also made the home owners participate more in the market since the risk of default was much lower.
• The Global Financial Crisis and Capitalism for the Elite Rich This Ideology adopted by many if not all of the western nations upholds the private ownership of business and institutions and the owners of these entities are allowed to spread out as much as they […]
• The UK Banking Practice That Led to Financial Crisis Crisis of the magnitude that was experienced is a real threat to the economy of any country and it is imperative for people to learn as much as they can to avoid the circumstance that […]
• The effect of the global financial crisis on political and financial risks The negative effects of the global financial crisis have been felt in most parts of the world i.e.in the advanced countries, the emerging markets and in the developing world.
• Global Trade During the Financial Crisis (from 2006 to 2010) Each of the major trade regions of the world seemed to concentrate more on a given branch of trade and give their outputs to the rest of the world.
• Global Financial Crisis Impact on Australian and World Economies After affecting the banking and credit sectors in the US, the global crisis slowly crept to other countries and in the process became a world crisis.
• International Finance. Main Causes of Recent Financial Crisis One of the specific factors that can be attributed to the recent international financial crisis was the loss on housing mortgage loans due to the decline of mortgage prices in the market.
• The 2008 global financial crisis Soros asserts that whereas the U.S.subprime mortgage market is believed to have prompted the current financial crisis, the basis of the crisis derived from the flawed practices and institutions of the current financial system.
• Benefits of the Old Fashioned Business Models in the light of Global financial Crisis The purpose of this essay is to establish the benefits and drawbacks of old fashioned business models in the light of global financial crisis with reference to Airdrie bank of Lanarkshire in the UK.
• The Recent Financial Crisis The financial crisis has been considered by most economists to be the worst crisis since the Great Depression as it contributed to the failure of major financial institutions in the U.S.and the decline of consumer […]
• Turkey’s 2000-2001 Financial Crisis The first crisis began at the early 90’s while the second began at the beginning of the 21st century. This led to the collapse of the exchange rate and the beginning of the country’s second […]
• The 1997-1998 Asian Financial Crisis This growth was associated with “inflow of investments, improvements in technology, increases in education, a ready supply of labor as people moved from the countryside to the cities to work in factories, and reduced restrictions […]
• Impact of the Global Financial Crisis on the Healthcare Industry The global financial crisis threatened to lead to the total breakdown of the global economy. The global financial crisis reduced the funding of that the healthcare facilities received from the government.
• Changes in Financial Markets and it impact on Recent Financial Crisis Due to the above reason, this study seeks to examine the reasons behind the changes in financial markets during the last 30 years and the role of these changes in the recent financial crisis.
• Argentina’s Financial Crisis: A Critical Review of Causes and Effects The unprecedented expansion in the country’s markets and economy at large was attributed to the rise in agricultural exports. The country’s economy was heading in the right direction following the introduction of the convertibility system.
• Cause of the Financial Crisis The reason for this is quite apparent it was namely the Democrats’ preoccupation with ‘combating poverty’ that resulted in passing of the infamous Community Reinvestment Act and in reinforcing its provisions through the course of […]
• Disadvantages of Developed Country (America) When 2008 Financial Crisis However, the scholars do not singly use this as a reason of terming a country as being developed but also adds on to the fact that people in that country should be having the freedom […]
• The Global Financial Crisis Every entity is faced with the inevitable reality of making financial decisions in the following departments; investment for instance where to open shop, dividends for example whether or not to pay and when, working capital […]
• Theories on Causes of Financial Crisis A financial system shock disrupted the situation and the prices of the houses fell and many people could not pay their loans.
• Wesfarmers Limited and the Global Financial Crisis In order to put into perspective the effect of the GFC, we shall study the profitability of the firm from 2007 to 2010.
• Regulation in the Financial Crisis 2008 While numerous claims have been put forth to explain the causes of the 2007-2009 financial crisis, there is almost a universal agreement that the major causes of the financial crisis was the combination of a […]
• The 2008 Financial Crisis: Causes and Consequences Foster and Magdoff Perspective of 2008 Financial Crisis Foster and Magdoff theory that attempts to explain the 2008 financial crisis attributes it to broader factors of monopoly finance capitalism which is a function of a […]
• Ethical Aspects of the Financial Crisis Yet, they would agree that to some degree, the origins of the financial crisis can be traced to the immoral behavior of some individuals who attempted to maximize their own benefits of at the expense […]
• Is Globalization the Main Culprit for the 2008 Global Financial Crisis? Globalization has eroded the powers and the sovereignty of the state, the role of the state to regulate and to steer forward the economy has been largely ignored at the expense of the market, these […]
• The Importance of Ethics in Business in Light of the Recent Global Financial Crisis The lack of concern for the overall good of the society stemmed from the increase in equity-based compensation to top executives which resulted in the declaration that “the paramount duty of management and board is […]
• What Was the Biggest Financial Crisis?
• Did Financial Crisis Alter the Level of Competition in the EMU Banks?
• What Is the Effect of Financial Crisis?
• What Are the Three Stages of Financial Crisis?
• Did Firms Manage Earnings More Aggressively during the Financial Crisis?
• What Causes a Financial Crisis?
• Did the Recent Housing Boom Signal the Global Financial Crisis?
• How Can We Solve Financial Crisis?
• What Is Another Word for Financial Crisis?
• What Is the First Stage in Financial Crisis?
• Can the Government Take Money from Your Bank Account in a Financial Crisis?
• What Was the Worst Financial Crisis in History?
• What Caused the Global Financial Crisis?
• Did the Financial Crisis Affect the Market Valuation of Large Systemic U.S. Banks?
• What Is the Impact of the Global Financial Crisis?
• What Happened in the 2008 Financial Crisis?
• How Did the Financial Crisis Started?
• Did Family Firms Perform Better During the Financial Crisis?
• Did Investors Herd During the Financial Crisis?
• Did Relational Capital Matter during the Financial Crisis?
• Did the Asian Financial Crisis Scare Foreign Investors Out of Japan?
• Did the Financial Crisis in Japan Affect Household Welfare Seriously?
• Did the Global Financial Crisis Alter the Oil–Gasoline Price Relationship?
• Was the 2008 Financial Crisis Caused by Lack of Ethics?
• Was the Financial Crisis Caused by Bankers or Government?
• Bitcoin Research Topics
• Wall Street Questions
• Growth Strategy Titles
• Cash Flow Paper Topics
• Risk Assessment Questions
• Great Depression Research Topics
• World Trade Organization Questions
• Corporate Finance Essay Ideas
• Chicago (A-D)
• Chicago (N-B)

IvyPanda. (2024, February 24). 155 Financial Crisis Essays & Examples. https://ivypanda.com/essays/topic/financial-crisis-essay-topics/

"155 Financial Crisis Essays & Examples." IvyPanda , 24 Feb. 2024, ivypanda.com/essays/topic/financial-crisis-essay-topics/.

IvyPanda . (2024) '155 Financial Crisis Essays & Examples'. 24 February.

IvyPanda . 2024. "155 Financial Crisis Essays & Examples." February 24, 2024. https://ivypanda.com/essays/topic/financial-crisis-essay-topics/.

1. IvyPanda . "155 Financial Crisis Essays & Examples." February 24, 2024. https://ivypanda.com/essays/topic/financial-crisis-essay-topics/.

Bibliography

IvyPanda . "155 Financial Crisis Essays & Examples." February 24, 2024. https://ivypanda.com/essays/topic/financial-crisis-essay-topics/.

Numbers, Facts and Trends Shaping Your World

Read our research on:

Full Topic List

Regions & Countries

• Publications
• Our Methods
• Short Reads
• Tools & Resources

Read Our Research On:

• Americans’ Views of Government’s Role: Persistent Divisions and Areas of Agreement

1. Government’s scope, efficiency and role in regulating business

Table of contents.

• Views on the efficiency of government
• Views on the government’s regulation of business
• Confidence in the nation’s ability to solve problems
• Views on the effect of government aid to the poor
• Views on government’s role in health care
• Views on the future of Social Security
• Trust in government
• Feelings toward the federal government
• Acknowledgments
• The American Trends Panel survey methodology

American s are evenly divided in their preferences for the size of government. Yet a somewhat greater share wants the government to do more to solve problems than say it is doing too much better left to others.

There is a persistent belief that government is wasteful: 56% say it is “almost always wasteful and inefficient.”

However, a majority of Americans (58%) say government regulation of business is necessary to protect the public good.

Divisions on government’s size, scope

Overall, 49% say they would prefer a smaller government providing fewer services, while 48% say they would rather have a bigger government providing more services.

Most Democrats prefer a larger government. For nearly half a century, Democrats and Republicans have differed in their preferences for the size of government. Today, those differences are as wide as they have ever been:

• Nearly three-quarters of Democrats and Democratic-leaning independents (74%) favor a bigger government, providing more services. By comparison, in 2015, a smaller majority of Democrats (59%) said they preferred a bigger government.
• Just 20% of Republicans and Republican leaners prefer a bigger government; nearly four times as many want smaller government with fewer services. Republicans’ views of the size of government have changed less than Democrats’. Still, when George W. Bush was running for reelection in 2004, roughly a third of Republicans favored a bigger government.

When asked about the proper role of government, about half of Americans (53%) say the government should do more to solve problems, while 46% say the government is doing too many things better left to businesses and individuals.

An overwhelming share of Democrats (76%) say government should do more to solve problems, while about a quarter (23%) say it is doing too many things better left to individuals and businesses.

By contrast, Republicans prefer a more limited role for government: 71% say government is doing too many things better left to businesses and individuals, while 28% say government should do more to solve problems.

There are also sizable demographic differences in these views:

• White adults (54%) are the most likely to say government is doing too many things better left to businesses and individuals, while smaller shares of Asian (34%), Black (31%) and Hispanic (29%) adults say the same.
• Younger adults are more likely than older adults to favor a larger role for government, with adults ages 18 to 29 (66%) being the most likely to say government should do more to solve problems.
• Among income groups, a majority of lower-income adults (61%) say government should do more to solve problems, while smaller shares of upper- and middle-income adults (53% and 48%, respectively) say the same.

Views among partisans by race, ethnicity and income

Among partisans, there are wide demographic differences on the preferred role of government – especially among Republicans.

Hispanic Republicans (58%) are much more likely than White Republicans (21%) to favor a larger role for government.

Views among Democrats are much less divided, with at least seven-in-ten Democrats in each racial and ethnic group saying government should do more to solve problems.

Nearly half of lower-income Republicans (46%) say that the government should do more to solve problems, while smaller shares of middle- (22%) and upper-income (19%) Republicans say the same.

Wide majorities of Democrats across income groups say government should do more to solve problems.

In assessments of the efficiency of the government, a majority of Americans (56%) find it to be “almost always wasteful and inefficient.” A smaller share (42%) say government “often does a better job than people give it credit for.”

Overall, views on the efficiency of government have remained somewhat steady since 2019, with views today mirroring those five years ago.

Among partisans, a majority of Democrats (63%) say the government often does a better job than people give it credit for, while a large majority of Republicans (77%) say government is often wasteful and inefficient.

Views on the efficiency of government in both parties have remained steady since 2021.

While Democrats are generally more likely than Republicans to say government does not get enough credit, these views vary somewhat depending on which party holds the presidency:

• Democrats are now more likely to give credit to the government than they were during the Trump administration.
• Among Republicans, views of government efficiency were more positive during the Trump administration.

This is consistent with shifts in views during prior administrations .

On the topic of government regulation of business, about six-in-ten Americans (58%) say that government regulation of business is necessary to protect the public interest. Four-in-ten, however, say government regulation of business usually does more harm than good.

These views have remained largely unchanged since 2017.

As with other attitudes about government, Republicans and Democrats differ on the impact of government regulation of business:

• About two-thirds of Republicans (65%) say government regulation does more harm than good.
• Roughly eight-in-ten Democrats (82%) say government regulation is necessary to protect the public interest.

Among other demographic differences:

• White adults (45%) are the most likely to say government regulation does more harm than good, while smaller shares of Hispanic (32%), Asian (29%) and Black (27%) adults say the same.
• Younger adults are more likely than older adults to say government regulation of business is necessary to protect the public interest, with adults ages 18 to 29 (64%) being the most likely to say this.

Americans are divided in their views on the country’s ability to solve important problems. About half (52%) of Americans say “this country can’t solve many of its important problems,” while 47% say that “as Americans, we can always find ways to solve our problems and get what we want.”

More Americans express confidence in the country’s ability to solve problems now than a year ago (47% now, 43% then). Still, the share saying this is lower than it was from 2019 to 2022.

Unlike assessments of government, there are no partisan differences in views on the country’s ability to solve its important problems.

In both parties, about half say the U.S. can’t solve many of its important problems, while slightly narrower shares say Americans can always find ways to solve the country’s problems.

Views among age groups

Among age groups, younger adults are the most likely to express skepticism in the country’s ability to solve its important problems. About six-in-ten adults ages 18 to 29 (62%) say the U.S. can’t solve many of its important problems, while smaller shares of older adults say the same.

Overall, the shares of adults in each age group who voice skepticism on the country’s ability to solve its problems remain higher than they were in 2022.

However, older adults have grown slightly more optimistic on this issue in the past year. Views among the youngest adults are relatively unchanged from 2022.

Sign up for our weekly newsletter

Fresh data delivery Saturday mornings

Sign up for The Briefing

Weekly updates on the world of news & information

• Election 2024
• Federal Government
• Government Spending & the Deficit
• Health Care
• Partisanship & Issues
• Social Security & Medicare
• Trust in Government

Third-party and independent candidates for president often fall short of early polling numbers

6 facts about presidential and vice presidential debates, biden, trump are least-liked pair of major party presidential candidates in at least 3 decades, cultural issues and the 2024 election, more than half of americans are following election news closely, and many are already worn out, most popular, report materials.

1615 L St. NW, Suite 800 Washington, DC 20036 USA (+1) 202-419-4300 | Main (+1) 202-857-8562 | Fax (+1) 202-419-4372 |  Media Inquiries

Research Topics

• Email Newsletters

ABOUT PEW RESEARCH CENTER  Pew Research Center is a nonpartisan fact tank that informs the public about the issues, attitudes and trends shaping the world. It conducts public opinion polling, demographic research, media content analysis and other empirical social science research. Pew Research Center does not take policy positions. It is a subsidiary of  The Pew Charitable Trusts .

© 2024 Pew Research Center

General election 2024: Markets buoyed by Labour landslide after Tory turmoil

The big win by Sir Keir Starmer's party had been forecast and "priced in" by traders and investors, with expectations of a period of stability after years of volatility under the Conservatives.

Friday 5 July 2024 14:10, UK

The pound has remained stable and the markets have reacted positively to Labour's landslide election victory.

Shares in leading companies on the UK stock exchange have risen reflecting expectations among investors of a period of stability after years of market volatility under the Conservatives.

The top-flight FTSE 100 rose up to 0.4% at the open before falling back after recording its best day in almost two months in the previous session.

Election latest: Results as they are declared

It was outpaced by the domestically focussed FTSE 250 which was up 1.8% at one point, hitting its highest level since April 2022, and despite a slight paring saw sustained gains.

European stocks also rose to more than one-week highs in response to the UK election result.

The pan-European STOXX 600 index was up 0.4%, touching its highest level since 26 June.

More on General Election 2024

Tory leadership contenders argue in public over 'nervous breakdown' claims

Jonathan Ashworth calls on new Leicester South MP to explain 'dealings' with man charged with terror offences

Conspiracy theory and nationalist groups embraced Reform UK at general election

Related Topics:

• General Election 2024

Meanwhile, the pound held firm after the big win by Sir Keir Starmer's party, ending 14 years of Conservative government.

Sterling rose 0.1% against the dollar to $1.27 - the highest level since mid June - and was up 0.01% on the euro at €1.18.

Labour's victory had been widely expected and priced into financial markets.

All the information you need to see the results come in, wherever or however you like.

The cost of UK state borrowing also dipped slightly as trading opened.

The rate the government has to pay to borrow money through the benchmark 10-year bond, initially fell 0.8 percentage points on Friday morning.

The dip largely held as trading progressed through the morning with the rate settling at 4.18%.

Read more: Analysis: Was this a 'loveless landslide'? Why this election has shattered records Who is your local MP now? Find out here

Ben Ritchie, head of developed market equities at abrdn said: "A landslide victory provides the sort of clarity and stability that equity markets need in an increasingly volatile world.

"If the new government get this right, businesses with significant exposure to the UK economy should be the likely winners."

Please use Chrome browser for a more accessible video player

Dan Coatsworth, investment analyst at AJ Bell, said: "The general election has resulted in a significant political shift for the UK and investors appear to welcome the changing of the guard, judging by how the more domestically focused FTSE 250 got off to a very strong start."

He added: "The FTSE 100's 0.4% gain today is the best market reaction for the first day of a new UK prime minister since the blue-chip index was created in 1984."

Sterling has edged up since Rishi Sunak called the election on 22 May, earlier than anticipated.

It is the strongest-performing major currency against the dollar this year, with a gain of 0.3%.

On a trade-weighted basis, the pound is now back where it was in 2016, at the time of the Brexit vote, reflecting a belief among traders that a period of market turmoil may be drawing to a close.

Kenneth Broux of Societe Generale said: "We know Labour were going to win, so this doesn't change much and this isn't a game-changer for sterling.

"We now want to know what Labour's plans are."

Labour under Jeremy Corbyn in 2019 was widely seen as negative for the economy by the City but, under Sir Keir's leadership, the party has shifted towards more traditional Tory territory.

The party has promised a focus on bolstering economic growth, improving the country's relationship with the EU and providing business with a policy clear path ahead.

In opposition it cashed in on the frustrations of the last parliament for investors amid a series of own goals, such as the fallout from the mini-budget under the short-lived Downing Street tenure of Liz Truss , who has now lost her seat .

But Rachel Reeves , who is poised to become the country's first female chancellor, is likely to enjoy only a short honeymoon period.

Keep up with all the latest news from the UK and around the world by following Sky News

Stretched public finances, largely a result of COVID pandemic support and aid for energy bills following Russia's invasion of Ukraine , will limit Labour's ability to splash the cash given the party's commitment not to raise the mainstream taxes.

Be the first to get Breaking News

Install the Sky News app for free

Despite that, expect a flood of demands for what is available from investors and business groups alike ahead of the first budget of the new parliament, expected in the autumn.

Related Topics

We've detected unusual activity from your computer network

To continue, please click the box below to let us know you're not a robot.

Why did this happen?

Please make sure your browser supports JavaScript and cookies and that you are not blocking them from loading. For more information you can review our Terms of Service and Cookie Policy .

For inquiries related to this message please contact our support team and provide the reference ID below.