Question
Developmental expenditure and Non developmental expenditure.

Answer

Developmental ExpenditureNon-developmental Expenditure
(a) The government expenditure which gives productive impact is called developmental expenditure.(a) The government expenditure which does not yield any direct productive impact, is called non-developmental expenditure.
(b) Developmental expenditure results in the generation of employment, an increase in production, etc.(b) Non-developmental expenditure does not help to increase employment or production level.
(c) Expenditure on education, industrial developmental expenditure.(c) Administration cost, war expenses, etc. are examples of non-developmental expenditure.
(d) They are productive in nature.(d) They are unproductive in nature.

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