IDEAS home Printed from https://ideas.repec.org/a/kap/compec/v57y2021i3d10.1007_s10614-018-9799-4.html
   My bibliography  Save this article

Performance Budget Planning: The Case of a Research University

Author

Listed:
  • M. J. Druzdzel

    (University of Pittsburgh
    Bialystok University of Technology)

  • J. R. Kalagnanam

    (IBM Thomas J. Watson Research Center)

Abstract

We describe a performance budget planning model developed for a research university, comprised of a set of 88 key variables and 38 non-linear structural equations that describe interactions among them. These equations, based on the knowledge of research university’s financial working and theoretical considerations, relate expenditures and revenues to teaching and research operations. We demonstrate the value of this model for developing insight into the financial structure of the university. In particular, we show how the model aids in (1) comparing the effect of various policy alternatives on the performance of the university, (2) performing comparative statics analysis of any subset of variables of interest, (3) choice of policy variables and policy alternatives, and (4) gaining insight into the structure of the interactions for a given policy alternative in terms of the causal chain between policy variables and outcome variables. We also describe a computer implementation of the model and discuss a class of mathematical tools for policy planning analysis that facilitate the use and manipulation of models based on sets of nonlinear constraints.

Suggested Citation

  • M. J. Druzdzel & J. R. Kalagnanam, 2021. "Performance Budget Planning: The Case of a Research University," Computational Economics, Springer;Society for Computational Economics, vol. 57(3), pages 869-887, March.
    • Handle: RePEc:kap:compec:v:57:y:2021:i:3:d:10.1007_s10614-018-9799-4
    DOI: 10.1007/s10614-018-9799-4
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10614-018-9799-4
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s10614-018-9799-4?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:compec:v:57:y:2021:i:3:d:10.1007_s10614-018-9799-4. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.