The document discusses different classifications of public expenditures. It outlines Mrs. Hicks' classification which separates expenditures into defense, civil, and development. Defense expenditure includes costs for defense equipment and wages for armed, navy, and air forces. Civil expenditure maintains law and order and administration of justice. Development expenditure promotes growth in agriculture, industry, trade, transport, and communication.
8. Capital And Productive And Non-
Revenue Productive
Expenditure Expenditure
Transfer And Non -
Plan And Non - Plan
Transfer
Expenditure
Expenditure
Other
Classification
(Mrs. Hicks)
15. Mrs. Hicks classified Public Expenditure on the
basis of duties of government. It is as follows :-
a) Defence Expenditure :-
It is expenditure on defence equipments, wages and salaries of armed
forces, navy and airforce etc.
b) Civil Expenditure :-
Government/incurs this expenditure to maintain law and order and
administration of justice.
c) Development Expenditure :-
It is expenditure on development of agriculture, industry, trade and
commerce, transport and communication etc.