Innovation in hard times is essential, yet innovation is often most difficult in hard times. During difficult times citizens expect more from their governments in terms of providing a safety net, providing quality services, and in being accountable for every dollar spent. Citizens also tend to demand that governments meet these increased expectations without any increase in the taxes they, the citizens, are asked to pay. This requires innovative thinking and action on the part of public managers and elected officials. Doing nothing is not an option. With revenues falling and expenditures rising, maintaining a balanced budget will not be possible without taking action, and that action often requires ingenuity and innovation.

This article is supporting documentation for the Alliance for Innovation Navigating the Fiscal Crisis white paper.