This analysis is the fifth of a series of seven reports on the ways that the urban fiscal crisis has affected children. Children's services in New Jersey have not suffered unduly from recent Federal budget cuts, but the combination of depressed revenues, continuing inflation, state aid reductions and Federal budget cuts have had a negative influence on all public services. Information was analyzed from a statewide survey of senior administrative officials supplemented by interviews with state and local program managers in the areas of parks and recreation, libraries, and social services, and with representatives of children's advocacy groups. Descriptions of the localities selected and the interviews conducted are included in an appendix. Summary findings include the following: (1) many children's library activities were eliminated by cuts in State aid and the inability of local government to make up the funding and keep up with escalating costs; (2) parks and recreation departments were more successful than libraries in continuing programs by enlisting volunteers; and (3) social services were most severely affected by federal cuts but organized children's advocates were successful in lobbying the state for replacement funds for day care programs. Statistical data are included on five tables. A list of 11 references is appended. (FMW)