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Decision-making in time of crisis : cutback management in Estonia

By: SAVI, Riin.
Contributor(s): RANDMA-LIIV, Tiina.
Material type: materialTypeLabelArticlePublisher: Los Angeles : SAGE, Sept. 2015Subject(s): Crise Econômica | Tomada de Decisão | Gestão de Crise | EstoniaInternational Review of Administrative Sciences 81, 3, p. 479-497Abstract: The article investigates the Estonian government's response to the fiscal crisis by looking at the dynamics of the decision-making processes during cutback management from 2008 to 2013 from the dichotomy of centralization–decentralization. The study explores the cutback decision-making by pinpointing the main actors and contextual variables shedding light on the management of fiscal crisis. It is demonstrated that, in general, the fiscal crisis contributed to increasing levels of centralization in governmental decision-making. The crisis decision-making was dominated by centralized political decisions and non-inclusion of the opposition and interest groups. Still, achieving urgent solutions was facilitated by decentralized decisions at the ministerial level, the empowerment of budgetary institutions and the intensive engagement of the civil servants. It has been indicated that the initially short-term procedures to enable cuts and resultant changes in decision-making processes are mostly in effect still in 2014 and thereby influence public administration practices in the long run
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The article investigates the Estonian government's response to the fiscal crisis by looking at the dynamics of the decision-making processes during cutback management from 2008 to 2013 from the dichotomy of centralization–decentralization. The study explores the cutback decision-making by pinpointing the main actors and contextual variables shedding light on the management of fiscal crisis. It is demonstrated that, in general, the fiscal crisis contributed to increasing levels of centralization in governmental decision-making. The crisis decision-making was dominated by centralized political decisions and non-inclusion of the opposition and interest groups. Still, achieving urgent solutions was facilitated by decentralized decisions at the ministerial level, the empowerment of budgetary institutions and the intensive engagement of the civil servants. It has been indicated that the initially short-term procedures to enable cuts and resultant changes in decision-making processes are mostly in effect still in 2014 and thereby influence public administration practices in the long run

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