The Factors of Reducing the Budget Deficit in Line with the General Policies of the Government in the Field of Government Budgeting

Omidi, Nabi

doi:10.30507/jmsp.2022.322835.2359

The Factors of Reducing the Budget Deficit in Line with the General Policies of the Government in the Field of Government Budgeting

Document Type : Research/Original/Regular Article

Author

Nabi Omidi

Assistant Professor, Department of Management, Faculty of Economics, Management and Accounting, Payam Noor University, Tehran, Iran

10.30507/jmsp.2022.322835.2359

Abstract

Budget deficit is the difference between the executive budget deficit and the extra balance capital. In most part of the years from 1980 to 2021, Iran was facing budget deficit. The aim of this research was to find out the effective factors of reducing budget deficit considering the conditions and problems of the country in the post 2011 era. In this decade, due to the complexity of the domestic and international issues, budget deficit increased more than expected, so far as generating money resulted in a heavy inflation. This study employed a survey method, bearing a practical aim, and using quantitative data. To analyze data, SPSS was used as the main software, and Lizrel was employed as a side software to the exploratory factor analysis. The population was 240 staff members of the management and planning organizations of different provinces, professors and teachers from different disciplines such as economics, financial management, and accounting from Payam Nour university. Also, executive managers from the related organizations were selected through Cokrain formula, which resulted in 148 participants. In this research, 30 effective factors of reducing budget deficit were identified, which were considered by Caser index. Accordingly, four elements (political and international relations, macro-economic, budget structure, and security) valued significantly above 1. Considering the statistical indexes and factor analysis, these four elements showed 89.927% of the whole variance. The findings indicated that the political and international relations element had 4.765 value of impact, macro-economic element had 3.205 value of impact, budget structure 1.942 value of impact, and security element had 1.861 value of impact, which were respectively the most important aspects of reducing budget deficit.

Keywords

Budget deficit

effective factors

Iran’s budget

economy

inflation

20.1001.1.23452544.1401.10.40.5.2

Subjects

Budget & Planning Economic

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