Business Research - Financial Hardship Research Proposal

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"Now we're coming over the top of the curve and heading down the wrong side of it" (Welsh-Huggins, 2008).

Among the numerous features, common to the cities in the analyzed sample, one could point out the following:

Throughout the past year, the city budgets have reduced the spendings in recreational programs and facilities; they reduced the working hours for the public libraries and laid off municipal workers; the agenda is likely to continue throughout 2009

The revenues generated from property taxes have decreased drastically throughout 2008 as a direct result of the devaluing of the houses; 2009 is likely to follow a similar trend

Sales and income taxes are also decreasing, posing even more difficulties in the background of increasing health care, employee, safety and fuel costs

For all cities analyzed, the general economic stability is being threatened and in this context, raising the taxes is not a recommendable course of action.

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"If you take the premise this is the worst economy in the inland area since World War II, it's not good time to raise fees," said Mayor Ron Loveridge" (Welsh-Huggins, 2008).

The future of the cities in the sample is similar, and so are the causes which will influence a near outcome. In this order of ideas, with the effects of the increasing oil and energy prices, but also with the decreasing of the property taxes to be registered by the local authorities, the cities are likely to still encounter difficulties throughout the next year also. Through the middle of 2009 however, economic and financial stability could be achieved, allowing the American cities to once again enjoy sustainable development......

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