Reform of the Planning,Programming, Budgeting System,and Management Control in the U.S. Department of Defense: Insights from Budget Theory

Resource decision making for the Department of Defense (DOD) is one of the most challenging tasks in all of public financial management. DOD coordinates national security threat assessment, long‐ and intermediate‐range planning and programming with annual budget formulation and execution. Between 2001 and 2004, Defense Secretary Donald Rumsfeld changed the system significantly, simplifying, and synchronizing it with presidential terms of office. We assess Planning, Programming, Budgeting System (PPBS) reform through application of applied budget theory. We review system evolution, document recent reforms, explain why change was necessary, and assess implementation feasibility. Only preliminary evaluation is possible because change implementation will require five or more years.     

Federal Budgeting After September 11th: A Whole New Ballgame,or Is It Déjà Vu All Over Again?

Federal budgeting has undergone some profound changes since the tragic events of September 11th, 2001. Large surpluses that existed prior to September 11th and were forecast to continue have been replaced by equally large and intractable deficits. The consensus around a macro‐level norm for federal budgeting has completely broken down. In other ways, the federal budget process has not changed at all. Despite the emphasis on defense and homeland security, domestic discretionary spending is still continuing unabated, as it has since the late 1980s. Further, the federal government continues to have chronic difficulty adopting its budget in a timely fashion.     

The China–asean Free Trade Agreement And Taiwan

While China's move toward a FTA with ASEAN reflects Beijing's most recent foreign economic policy adjustment and represents a new stage in the nation's open-door policy, it inevitably produces significant impact on cross-Taiwan Straits relations. This recent development in China's foreign economic relations brings not only substantial psychological and real effects and pressure on Taiwan for its possible isolation and marginalization from the ongoing process of regional integration in East Asia, but also growing pressure exerted by the island's business community that fears being pushed into a disadvantageous position in competition with ASEAN companies in the ever expanding and lucrative market of the mainland. For strategic, diplomatic, and economic considerations in the face of this new challenge, Taiwan is pursuing counter-measures by searching for its own FTAs with other countries within and beyond the region.     

United States Responses to the Soviet Suppression of Rebellions in the German Democratic Republic,Hungary, and Czechoslovakia

Under Presidents Dwight Eisenhower and Lyndon Johnson, the United States refrained from intervening during the three major Cold War crises in the Soviet bloc in 1953, 1956, and 1968. The uprisings in the German Democratic Republic and Hungary came at a contentious stage of the Cold War. In 1968 East–West relations were again groping towards détente and, the Czechoslovak Communist Party unleashed an ambitious reform agenda under Alexander Dub?ek. On 20 August, a massive military invasion by Warsaw Pact forces squashed the reform spirit. All three challenges to Soviet control on the periphery of its Cold War empire followed power struggles in the Kremlin and intimations of a slackening of the reigns of control in Moscow. Eastern Europe was terra incognita for most Americans, and the United States had never pursued an active policy in Eastern Europe. All three crisis scenarios were overshadowed by crises in other parts of the world—part of larger arcs of crises the superpowers were confronting simultaneously. The three crises also coincided, domestically, with intense presidential election politics. Washington ultimately respected the Yalta arrangements and tolerated the Soviet sphere of influence in Eastern Europe. Next to grudging respect for the Yalta outcomes, the ultimate spectre of mutual destruction in a nuclear war “compelled” the superpowers towards co-existence and, ultimately, in 1989, the satellite states had to liberate themselves.