Does Citizen Participation Matter to Performance-Based Budgeting?

According to the meta-analysis on performance budgeting theory and practice, the relationship between citizens' role and performance-based budgeting is an important but under-researched topic. Missing in our understanding of the determinants of performance budgeting is an examination of how citizen participation fosters the usage of performance information in the local budgetary process. This research is intended to understand the role of citizens to use performance budgeting, particularly for strategic planning and performance evaluation. To examine the research question, this study hypothesizes that local governments with a commitment to citizen participation tend to use performance budgeting. The results allow confirming that the hypothesis is supported, and to clarify our knowledge of the role of citizen input in government fiscal decisions.