Changes in Eastern Europe and the Soviet Union: The effects on China

The rapidly changing political, economic, and security policies in the Soviet Union and Eastern Europe in late 1989 and 1990 have added to the complications faced by Chinese leaders since they decided to suppress the unprecedented large-scale pro-democracy demonstrations in Chinese cities in spring 1989. These changes had an obvious “ripple effect” in China, encouraging prodemocracy forces and alarming Chinese leaders. They attracted strong positive attention from the developed countries of the West and Japan, and international financial institutions and businesses. This came at the indirect expense of China. And they accelerated changes in world politics (especially in U.S.-Soviet relations) and in the politics of government decision making in the West that promised to reduce China’s relative influence in world affairs in the 1990s. The prospect of reduced influence abroad and curbed economic contacts did not appear to be sufficient cause for Beijing leaders to markedly change existing policies. Chinese leaders in mid-1990 appeared focused on issues of internal political power at a time of leadership transition. Significant changes in policy appeared most likely to await leadership changes as Deng Xiaoping and other aged leaders die or are incapacitated.     

When is Growth Not Growth? The Curious Case of Mental Health Budgeting in New York

This article argues that the adverse impact of Medicaid on state budgets alleged in various public debates has been overstated, in some measure because of the inaccurate and misleading manner in which Medicaid expenditures are appropriated in state budgeting systems. Data on Medicaid and mental health spending in the state of New York is used for analysis. The first section provides a Medicaid spending and budgeting background. The second section discusses Medicaid and mental health in New York. The third section describes actual budgeted spending for mental health in New York, and the final section provides a discussion and concluding comments.     

The Two-Way Street: Government Shaping of Community-Based Advocacy

The interaction between government and community-based advocacy organisations is becoming complex and highly structured. While some analysts seek to explain such interplay within neo-Marxist or public choice frameworks, we argue the relationship is best understood as a two-way street, full of tensions but neither a conspiracy against the public interest nor part of a larger design to deradicalise social movements. Drawing on a wide range of Australian examples, but focusing in particular on peak women's and ethnic communities' organisations, we explore how social movements have been able to exert independent influence on the policy agenda.     

Public Management Reform: a Global Perspective

This article summarises the results of a 'broad brush' global survey of 'new forms' of public management. The survey supports the view that the spread of the new forms cannot be seen as a global 'paradigm shift' in public management. However the new forms are increasingly found beyond the core set of OECD countries usually given as examples of reforming countries. The survey suggests that globalisation processes are increasing the amount of 'lesson drawing' between countries and contributing to the spread of new forms.     

(Non)equivalence in a federalism: Dual tax shares, flypaper effects and Leviathan

Among the best-known theorems of fiscal federalism is the presumed allocative and distributive equivalence between a lump-sum grant to a collectivity and a set of lump sum grants to the members of a collectivity. Interestingly, the simple elegance of the theorem is at odds with observed behavior. Grants to governments produce greater public spending than does tax reduction. Explanations of this "flypaper effect" range from misspecified econometric modeling to presumed behavior based on fiscal illusion. In this paper we show that theoretical equivalence exists in a model that recognizes only one tax share, the citizen voter's local tax share. When the model is expanded to include voters' federal tax shares as well as local taxes, non-equivalence and the flypaper effect become the rule, not the exception.