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Output–Purchase Funding and Budgeting Systems in the Public Sector
Author(s) -
Robinson Marc
Publication year - 2002
Publication title -
public budgeting and finance
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.694
H-Index - 30
eISSN - 1540-5850
pISSN - 0275-1100
DOI - 10.1111/1540-5850.00087
Subject(s) - business , public sector , government (linguistics) , payment , key (lock) , goods and services , function (biology) , service (business) , delivery system , service delivery framework , public economics , finance , economics , marketing , computer security , computer science , market economy , medicine , linguistics , philosophy , economy , evolutionary biology , pharmacology , biology
Output–purchase funding systems are systems in which payments made to service delivery agencies by government are an explicit function of quantities of outputs delivered by those agencies. This article considers the feasibility of such systems for the funding of tax–financed public services. It focuses on the implications of key characteristics of public sector outputs and specifically upon the prevalence of heterogeneous outputs, the predominance of services (as opposed to physical goods), and the presence of many “contingent capacity services.”