Deficits in Local Government Budgets in Israel: A Reflection of Political Cycles and an Expression of Local Autonomy

This article addresses local government budgeting in the context of two Israeli political cycles: the parliamentary election period and the municipal election period. Deficits are not unusual in any of the three types of Israeli localities: municipalities, local councils, and regional councils. And these deficits exhibit a definite pattern; they are largest in election periods. Specific examples are cited to show this hypothesis holds true for all types of localities (including Israel's three largest cities), and for both Jewish and Arab localities as well.