Question

Which of the following is/are categorised under developmental expenditure?

• A. Expenditure on defence
• B. Expenditure on education infrastructure
• C. Expenditure on health infrastructural project
• D. Expenditure on law and order

Answer 1

Answer: (B), (C)

Expenditure on health infrastructural project

All expenditures that lead to the development of a nation are called developmental expenditures. Expenditures on education and infrastructural projects are examples of developmental expenditures. On the other hand, expenditures on defence, and law and order are required for the smooth functioning of a country and are categorised under non-developmental expenditures.