Schumpeter finalll
CAUSES OF INCREASING PUBLIC EXPENDITURE
- Bu sahifa navigatsiya:
- 1.Increasing Defence Expenditure: Protection of boundaries of the nation is major responsibility of Government However, in modern times protection of boundaries and defence of the
- 2.Growth of Population: Most of the countries are experiencing rapid population growth. As result of increasing population, Government has to cater basic needs of the community.
- Government has to undertake various activities and functions.
- 5.Economic Development: In all countries the States (Governments) have taken the responsibility of economic development. It means Governments take the responsibility and initiative of
- 6.Rising Price Level: Rising price level is another factor contributing to increasing public expenditure. Rapid rise in the price level means dislocating original budget of the Government ously
- 7.Efficient Product Mix: Musgrave, expert in public finance, pointed out that, as per capita income rises country has to supply more social goods. Social goods we mean goods which are
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