The following are some of the items of expenditure of the Central Government in India : 1. Interest payments 2. Major subsidies 3. Pensions 4. Loans and advances Which of the above is/are included in non-plan revenue expenditure?

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Q: 90 (CAPF/2013)
The following are some of the items of expenditure of the Central Government in India :
1. Interest payments
2. Major subsidies
3. Pensions
4. Loans and advances
Which of the above is/are included in non-plan revenue expenditure?

question_subject: 

Economics

question_exam: 

CAPF

stats: 

0,75,36,9,15,75,12

keywords: 

{'expenditure': [2, 0, 2, 4], 'major subsidies': [0, 0, 0, 1], 'pensions': [0, 0, 0, 1], 'central government': [1, 0, 0, 1], 'interest payments': [1, 2, 3, 2], 'loans': [1, 1, 4, 14], 'india': [8, 1, 7, 13]}

The correct answer is option 3: 1, 2, and 3.

Non-plan revenue expenditure refers to the regular expenses incurred by the government that do not contribute to the implementation of specific development plans or projects. In this case, interest payments, major subsidies, and pensions are all part of the non-plan revenue expenditure of the Central Government in India.

1. Interest payments: This refers to the interest paid on loans and borrowings taken by the government. It is a regular expense that is necessary to fulfill the government`s financial obligations.

2. Major subsidies: These are financial aids or benefits provided by the government to support specific sectors or groups in society. Examples include subsidies for food, fuel, education, and healthcare. These subsidies are part of the non-plan revenue expenditure as they are recurring expenses.

3. Pensions: Pensions are regular payments made to retired government employees as a form of financial assistance. Since pensions are a recurring expense and do not contribute to any specific development plans, they are included in the non-plan revenue expenditure.

Option 4, which includes subsidies, pensions, and loans and advances, is not correct as loans and advances are not considered non-plan revenue expenditure.

Therefore, the correct answer is option 3.

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