After over 2 decades of military dictatorship Brazil became a democracy in 1988. The Participatory Budget was formally introduced in Porto Alegre under the leadership of the Workers' Party in coalition with pro-democracy social movements. Interest in participatory budgeting is continuing to grow. Participatory Budgeting has now been instituted in over 1500 cities worldwide. In this study it has been aimed to introduce the basic criteria of participatory budgeting and to examine the factors affecting success in participatory budgeting. The sample of New York City, which is highly compatible with the factors we are dealing with, is analysed and the participatory budgeting process and its results are analysed.