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Compare developmental and non -developmental expenditure and give examples for each. |
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Answer» Public expenditure can be classified into developmental and non developmental expenditure. Any expenditure that creates assets for the future is called developmental expenditure. Examples :- construction of roads, bridges, and harbors, setting up of educational institutions, starting up new enterprises etc. Expenditures that does not create any assets are called non-developmental expenditure. Examples :- expenditure incurred by way of war. interest, pension etc. |
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