Q. Budget-making reflects not only fiscal priorities but also the nature of democratic governance. Compare the budget approval mechanisms of the US and India in light of the recent US shutdown. (10 Marks, 150 Words)

Core Demand of the Question

  • Comparison between Budget mechanism in US and India.

Answer

Introduction

The recent 43-day US government shutdown highlights how budget disputes can halt governance under a Presidential system. It underscores the importance of understanding how different democracies structure fiscal authority. Comparing the US and India reveals how institutional design shapes budget approval and administrative continuity.

Body

Comparison between Budget approval mechanism of the US and India 

Aspect United States (Presidential System) India (Parliamentary System)
Nature of Executive–Legislature Relationship The Executive (President) is separate from Legislature (Congress), creating independent power centres. The Executive (PM & Cabinet) is part of Parliament, enabling coordinated decision-making.
Budget Approval Authority The President proposes, but Congress must approve appropriations; neither is bound by the other. The government proposes and, with parliamentary majority, reliably secures approval.
Consequence of Budget Not Passing Leads to a government shutdown, agencies halt operations, services stop, employees go unpaid. No shutdown possible; failure to pass Budget implies loss of confidence, forcing resignation or elections.
Frequency and Severity of Shutdowns 11 shutdowns since 1976; latest lasted 43 days, longest ever. Zero shutdowns due to fused executive–legislature structure.
Fiscal Year and Deadline Pressure FY begins Oct 1,  missing this deadline causes an immediate funding lapse and shutdown. FY begins Apr 1; even delays do not interrupt functioning due to parliamentary control.
Political Deadlock Risk High, because of  disagreement between parties or between the President and Congress can halt governance. Low, because majority government ensures Budget passage and prevents administrative paralysis.
Governance Stability During Budget Process High Vulnerability, because shutdown disrupts the economy, welfare, and federal services. Stable, because administration continues uninterrupted even during contentious budget debates.
Systemic Implication for India Highlights fragility of Presidential systems where gridlock stops governance. Reinforces resilience of India’s parliamentary system in ensuring continuous government functioning.

Conclusion

The comparison shows that budget processes reflect deeper constitutional choices and governance priorities. While the US model risks paralysis during political gridlock, India’s system ensures uninterrupted functioning. Strong executive–legislature coordination is essential for stable and effective fiscal governance.

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Comprehensive coverage with a concise format
Integration of PYQ within the booklet
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हिंदी में भी उपलब्ध
Quick Revise Now !
UDAAN PRELIMS WALLAH
Comprehensive coverage with a concise format
Integration of PYQ within the booklet
Designed as per recent trends of Prelims questions
हिंदी में भी उपलब्ध

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