Difference between revisions of "Zero-based budgeting"

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==Effect on government spending==
 
==Effect on government spending==
Several members of congress have indicated that they favor ZBB<ref>{{cite web |url=http://thehill.com/blogs/congress-blog/economy-a-budget/231455-in-favor-of-zero-based-budgeting |title=In favor of zero-based budgeting |work=[[The Hill]] |date=June 07, 2012 }}</ref>, since it would put more emphasis on spending cuts.<ref>{{cite web |url=http://www.washingtontimes.com/news/2015/mar/30/rep-dennis-ross-pushes-zero-based-budgeting-for-fe/?page=all |title=Dennis Ross pushes zero-based budgeting for federal government |work=[[Washington Times]] |date=March 30, 2015 }}</ref>
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Several members of congress have indicated that they favor ZBB,<ref>{{cite web |url=http://thehill.com/blogs/congress-blog/economy-a-budget/231455-in-favor-of-zero-based-budgeting |title=In favor of zero-based budgeting |work=[[The Hill]] |date=June 7, 2012 }}</ref> since it would put more emphasis on spending cuts.<ref>{{cite web |url=http://www.washingtontimes.com/news/2015/mar/30/rep-dennis-ross-pushes-zero-based-budgeting-for-fe/?page=all |title=Dennis Ross pushes zero-based budgeting for federal government |work=[[Washington Times]] |date=March 30, 2015 }}</ref>
  
 
==Compare with==
 
==Compare with==
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[[Category: Finance]]
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[[Category:Finance]]

Revision as of 22:05, July 13, 2016

Investopedia defines Zero-based budgeting (ZBB) as "A method of budgeting in which all expenses must be justified for each new period. Zero-based budgeting starts from a "zero base" and every function within an organization is analyzed for its needs and costs. Budgets are then built around what is needed for the upcoming period, regardless of whether the budget is higher or lower than the previous one."[1]

History

ZBB was first pioneered in the early 1970's by Pete Pyhrr, then an accounting manager for TI.[2]

Effect on government spending

Several members of congress have indicated that they favor ZBB,[3] since it would put more emphasis on spending cuts.[4]

Compare with

References