<P>In this volume, based on a week-long symposium at the University of Munich's Centerfor Economic Studies, two leading scholars of governmental economics debate their divergentperspectives on the role of government and its fiscal functions.James M. Buchanan, who wasinfluential in developing the research program in public choice, concentrates on the imperfectionsof the political process and stresses the need for rules to restrain governmental interference.Richard A. Musgrave, a founder of modern public finance, points to market failures and inequitiesthat call for corrective public policies. They apply their differing economic and politicalphilosophies to a variety of key issues. Each presentation is followed by a response and generaldiscussion.</P>