Local Government Policy on Spending

Local Government Policy on Spending

Local government spends its revenue on health, education, and social service program. In 2017, For instance, in the United States, most of the local government policy was to all of its budget on elementary education and higher education. From the total budget, 21 percent was allocated for elementary education and 10 percent on higher education. Expenditure on public welfare was 22 percent. Social services included spending on programs such as Medicaid, supplementary security income, and temporary assistance for the needy family. The Medicaid services are usually allocated the lion’s share of the total expenditure on social services. For instance, in 2019, Medicaid accounted for 29 percent in most local authority expenditure.

The policy of spending of the local government is good because it touches on essential services that benefit the taxpayers. In the first place, spending on education is vital as it helps many people get the necessary skills that can help them get employed. The local government focuses more on elementary school because such expenditure results in maximum social benefit. The policy ensures that all children get basic skills that are important for the country. Secondly, the local government also allocates some amount for high education that provides people to get the necessary skills and knowledge that help some of them get direct or indirect employment opportunities. In my view, I would try to balance so that all sectors of the economy get an equitable share of government expenditure. Equality in government expenditure would enable other sectors of the economy to strive. The market would only change if the local government also focus on development expenditure so that people can get direct jobs from such direct investment by the government.