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A total of 44 states have submitted applications for a balanced budget amendment, at some time in the past.However, they were not outstanding simultaneously as some have expired or been rescinded. states, the United States Constitution does not require the United States Congress to pass a balanced budget, one in which the projected income to the government through taxes, fees, fines, and other revenues equals or exceeds the amount proposed to be spent.State balanced budget requirements do not apply to state capital budgets, which generally allow states to use their debt capacity to finance long-term expenditures such as transportation and other infrastructure. There were differences within and between the major political coalitions over the possible liquidation or increase of this debt.
The Basic Law permits an exception to be made for emergencies such as a natural disaster or severe economic crisis.
In 2011 Italian Prime Minister Silvio Berlusconi promised to balance the budget by 2013, and a balanced budget amendment to the Constitution of Italy was added in 2012 with an overwhelming parliamentary majority, under the following Monti government.
The governor is not legally required to submit a balanced budget, the legislature is not required to approve appropriations that are within available revenue, and the state is not required to end the year in balance. Constitution would require a balanced budget, but none have been passed. economists of varying macroeconomic theories disagree about whether a balanced budget is needed—or even useful—to achieve long term economic growth.
An unusual variant is the Oregon kicker, which bans surpluses of more than 2% of revenue by refunding the money to the taxpayers. Constitution, so the federal government is not required to have a balanced budget and usually does not pass one. Most of these proposed amendments allow a supermajority to waive the requirement of a balanced budget in times of war, national emergency or recession. At the time that the Constitution came into effect, the United States had a significant debt, primarily associated with the Revolutionary War.
This adjustment is made by multiplying expenditures by a cyclical factor (the ratio of trend real GDP to expected real GDP), thus either allowing for deficits during recessions or forcing lawmakers to have surpluses during booms.
Essentially, the rule calls for structural balance in each year and absolute balance over the course of a business cycle.But note also that he made no exception for war, but rather saw the requirement of maintaining a balanced budget as a salutary deterrent.) The issue of the federal debt was next addressed by the Constitution within Section 4 of the Fourteenth Amendment (proposed on June 13, 1866, and ratified on July 9, 1868): The validity of the public debt of the United States, authorized by law, including debts incurred for payment of pensions and bounties for services in suppressing insurrection or rebellion, shall not be questioned.But neither the United States nor any State shall assume or pay any debt or obligation incurred in aid of insurrection or rebellion against the United States, or any claim for the loss or emancipation of any slave; but all such debts, obligation, and claims shall be held illegal and void.A balanced budget amendment is a constitutional rule requiring that a state cannot spend more than its income.It requires a balance between the projected receipts and expenditures of the government.Balanced-budget provisions have been added to the constitutions of most U. states, the Basic Law of Germany, the Hong Kong Basic Law, Spain, Italy and the Swiss Constitution.It is often proposed that a balanced-budget rule be added to the federal United States Constitution.Economists are divided as to whether a balanced budget amendment would reduce the cost of borrowing for governments; with 19% of economists saying that it would and 38% of economists saying that it would not.In November 2011 the Austrian coalition government agreed to amend its constitution and introduce a German style Schuldenbremse ("debt brake").Most balanced-budget provisions make an exception for times of war, national emergency, or recession, or allow the legislature to suspend the rule by a supermajority vote.There is a near-consensus among economists that a balanced budget amendment would not reduce economic volatility.