Testing Rival Decision–Making Theories on Budget Outputs: Theories and Comparative Evidence

This study demonstrates the link between the degree of economic rationality and budgetary decision–making outputs for Canada, the United Kingdom, and the United States. Three empirical models are derived with low, intermediate, and high degrees of economic rationality, namely, "garbage can," incrementalism, and rational choice budgeting, respectively. The methods used are time series analyses on real disaggregated national government budget outputs for the post–World War II period for Canada, the United States, and the United Kingdom. There was some support found for budgetary incrementalism, and the most consistent support for rational choice budgeting. There was no support for garbage can budgeting.