Q. Consider the following expenditures of the Government of India: - Defence expenditure
- Subsidies
- All expenditures linked with the previous plan periods
- Interest payment
Which of the above expenditures are considered as non-plan expenditures?
Answer:
1, 2,3 & 4
Notes: Non-plan expenditure consists of various types of expenses like payment of interest, subsidies provided by the government (mainly on food and fertilisers), wage and salary payments to government employees, grants to States and Union Territories governments, pensions, police, economic services in various sectors, other general services such as tax collection, social services, grants to foreign governments, defence, loans to public enterprises, loans to States, Union Territories. All the listed expenses in the question are part of the non-plan expenditure of the Government of India.