Cato Institute
Policy Analysis
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o
Hopefully,
the spending variables are only for state general
states grant governors differing amounts of
fund budgets, which are usually the budgets
authority over budget processes. For exam-
the leadership
that governors have the most control over.
ple, most governors are empowered with a
shown by the
line item veto to trim unneeded spending,
A governors will
Measurement Caveats
but governors in nine states do not have that
This report uses publicly available statisti-
power. Another example is that the superma-
inspire the next
cal data to measure the fiscal performance of
jority voting requirement to override a veto
crop of governors
the governors. There are, however, several
varies among states. Such factors give gover-
unavoidable problems in grading the fiscal
nors different levels of budget control that
to pursue the
performance of the governors.
are not accounted for in this study.
bolder fiscal
For one thing, the report card cannot
Nonetheless, the results presented here are
reforms that are
entirely isolate the impact of the governors
a reasonably good reflection of each gover-
from the fiscal decisions of state legislatures.
nor's fiscal approach. Governors receiving an
needed in the
Governors and legislatures both influence
A have focused on reducing tax burdens and
years ahead.
tax and spending outcomes, and if a legisla-
restraining government growth. Governors
ture is controlled by a different party, a gov-
receiving an F always seem to put the govern-
ernor's control over fiscal policy may be
ment's needs ahead of the average taxpayer's
diminished. To help isolate the performance
needs. In between A and F are many governors
of governors, variables 1 and 3 are included
who gyrate between fiscal approaches one year
to measure the effect of each governor's pro-
to the next. Hopefully, the leadership shown
posed, but not necessarily enacted, recom-
by the A governors will inspire the next crop of
mendations.
governors to pursue the bolder fiscal reforms
Another factor to consider is that the
that are needed in the years ahead.
9