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What is plan and non-plan expenditure? |
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Answer» The expenditure done by the government are of two types. They are: (i) Plan expenditure and (ii) Non-plan expenditure. (i) Plan Expenditure: The expenditure that government thoroughly discussed in the budget and sets estimates for it in the Planning Commission under the Five Year Plan is called ‘Plan Expenditure’. Example: Expenditure to be done on building, roads and bridges, generating electricity, raising irrigation al facilities, etc. (ii) Non-plan Expenditure: The expenditure to be done for day to day routine activities of the government is called “Non-plan Expenditure”. Example: Administrative expenses of government, salaries of government employees, different welfare schemes and fairs, celebrations and various other public and private expenditures. |
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