- Government expenditure is also known as public expenditure.
- From the point of view of development, public expenditure is classified as
1. Development expenditure
2. Non-development expenditure.
- From the point of view of creation of capital assets, public expenditure is classified as
1. Revenue expenditure
2. Capital expenditure
|
Revenue Expenditure |
Capital expenditure |
| 1. General Administration |
1. Construction of irrigation projects |
| 2. Defence (Daily expences) |
2. Establishment of basic industries, power projects |
| 3. Maintenance of schools, hospitals, roads, pensions etc. |
3. Construction of National highways etc. |
