Louisiana's federal, state, and local government budgets vary significantly in terms of scope, constraints, and priorities. The federal government has broad fiscal powers, including the ability to run budget deficits and incur national debt to fund spending. In contrast, state and local governments in Louisiana are generally required by law to keep their budgets balanced. This requirement ensures fiscal discipline, prevents excessive debt accumulation, and promotes financial stability, all of which are necessary for maintaining public trust and attracting investment