Q. With reference to the Planned expenditure of the government, which of the following statements is/are correct?
  1. They are generally the routine expenditures of the Government
  2. They are generally routed through the central ministries to state governments
  3. They are generally incurred in the name of Planning
Select the correct option from the codes given below:

Answer: Only 2 & 3 are correct
Notes: Planned expenditures are incurred in the name of planning for socio-economic development and are commonly routed through central ministries to state governments. They generally relate to specific schemes and not to the routine, administrative spending of government, which falls under non-plan expenditure. Statement 1 is incorrect; statements 2 and 3 are correct as per government expenditure classification.
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📌 Question Number: 11 in Public Finance, Fiscal Policy and Taxation in India in the above course in App.