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“The percentage of ‘education expenditure of total government expenditure’ indicates the importance of education in the scheme of things before the government”. Critically analyze the changes in government spending on education.

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The government is supposed to make expenditure on education so as to improve the efficiency of human capital in the country. The percentage of ‘education expenditure of GDP’ expresses how much of our income is being committed to the development of education in the country. 

During 1952-2002, education expenditure as percentage of total government expenditure increased from 7.92 to 13.17 and as percentage of GDP increased from0.64 to 4.02. Throughout this period the increase in education expenditure has not been uniform and there has been irregular rise and fall. 

In addition to lowering expenditure on education, there exists a regional disparity in case of spending on education in various parts of the country. For example, the per capita education expenditure differs considerably across states from as high as Rs 3,440 in Lakshadweep to as low as Rs 386 in Bihar. This leads to differences in educational opportunities and attainments across states. 

Thus it can be concluded that the government is not giving proper attention on the education sector. The relevance of education in the development of the country is to be recognized and therefore, given top priority to the expenditure in this sector.

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