Economics 1 Marks Each

" Salary of Employees, Pension and Retirement benefit, Administrative services, and Financial services are Non-Developmental Expenditures.

The expenditure which gives speed to Economic, Development directly or indirectly are termed as Developmental Expenditure. e.g. Irrigation facility.

Income received by the Government in the form of Direct and Indirect tax, Profit from Public, Sector, Fine and fee from Public utilities and interest from the advances given by government are revenue income.

A type of unbalanced budget in which government's estimate total expenditure is more than the estimated total income.

Generally finance minister presents the budget in the lok sabha.

In india Economic & Social Planning, Social Security and Industrial Disputes type of responsibilities come under State and Centre generally together.

The following are the income sources of Panchayat.

• Income from Local tax and fine according to permission granted in Constitution and State Government,
• Direct Grant received from central Government,
• Finance given to Panchayat by state for implementation of different scheme.

A budget is an annual accounting statement of the item-wise estimates of expected revenue and anticipated expenditure of the Government for a new financial year.

In democratic country Government does the work by getting the permission from the elected representative of the public.

By deducting payment of interest from fiscal deficit we get Primary deficit.

State government takes overdraft from central government and solves Budgetary deficit.

To meet the budgetary deficit central govt. issues new currency notes, it is called Deficit Supplement.

When the total of revenue and capital expenditure are more than revenue and capital income, it is called Budgetary deficit.

Revenue deficit is compensated through Capital Income.

Primary deficit is the estimate of current year's income and expenditure.

According to calculative vision, revenue deficit shows inefficient working of government machinery.

Revenue Budget is created when Revenue Expenditure is more than Revenue Income in Budget.

In Budget Revenue Deficit, Budgetary deficit, fiscal Deficit, and Primary Deficit are the four deficit which are shown.

Panchayat is assembly of five members.

In India Panchayat Raj has given strength to Panchayat.

In India local self government organization like Maha Nagar Palika, Nagar Palika, Gram Panchavat, Taluka Panchayat and District Panchayat are there.

In India State government has more responsibilities and less productive tax than central government.

The Expenditure of the state budget are divided into Developmental Expenditure and Non-developmental Expenditure.

In the union budget the Revenue Expenditure is shown in two types :

• Planned and
• Unplanned Expenditure.

The india budget is mostly presented in the end of February.

Capital Account includes l es the like payment of debt by the Government. Debt. given by State Go Budget or Central Government and Social and Defense sector are included.

Loans from foreign market by state, debt from central bank, sale of treasury bill and Income from disinvestment etc. transactions are included in Capital income.

In general, to control Inflation Surplus Budged and during depression Deficit Budget is desirable to frame.

Deficit budget is found mostly in developing countries.

Surplus Budget is mostly found in Developed countries.

Salary paid to the Employees Assistance to the state, Defense, Subsidy type of different Public services expense are included in Revenue Expenditure.

There are two sections of expenditure budget :

• Revenue Expenditure,
• Capital Expenditure.

Statement showing estimates of Expense and Income for the next year.

Local self government organization is allotted the work of Street light, Cleanliness, Drainage, Water etc. and important Primary Services.

State government is allotted work of Education, low and order, etc. to be provided effectively and directly to the public.

State government is allotted work of Education, low and order, etc. to be provided effectively and directly to the public.

In India government is allotted the work of Defense, Railway, Population Census, etc.

In India the work done by central and state government and resources acquired for getting the income are distributed according to the constitution. This is combined arrangement.

In India authority is distributed at three levels

• Central Government,
• State government,
• Local Self government organization.

The permission for framing budget is given by lok sabha at Center, Vidhan Sabha ar State. That means permission is be taken from Democratic ruling committee.