Question

What is the "plan expenditure" in a state budget?

• A. Expenditure on salaries and administrative costs of government employees
• B. Expenditure on loan repayments and interest payments
• C. Expenditure on disaster relief and emergency response
• D. Expenditure on schemes and projects as part of the Five-Year Plans

Answer 1

Answer:

D. Expenditure on schemes and projects as part of the Five-Year Plans

• Plan expenditure refers to the government's spending on schemes and projects related to the five-year plans and central assistance for state plans.

• This has been largely replaced by the distinction between capital and revenue expenditure after the abolition of the Planning Commission.