He was a doctoral graduate from the Maxwell School, Syracuse University and began teaching courses at SUNYA in 1948 via a program in public administration created in conjunction with the Maxwell School. When the University's department was created in 1967, Axelrod became a faculty member and later its chairman.

Axelrod retired in 1971 from the New York State's Office of the Budget as an assistant state budget director after a 26-year career in public administration. He served as a consultant to several foreign governments, including Turkey and Thailand.

He authored several books, including Budgeting for Modern Government and Shadow Government: The Hidden World of Public Authorities.

Dr Axelrod was a member of the American Society of Public Administration.

Donald Axelrod died on March 16, 1999, at his home in Slingerlands, New York, after a long battle with cancer, aged 83. He was survived by his wife, Selma Sachs Axelrod (November 4, 1916 - January 9, 2009) and their children, Rosemary and Jonathan.