3. .

8. Capital And Productive And Non-
Revenue Productive
Expenditure Expenditure
Transfer And Non -
Plan And Non - Plan
Transfer
Expenditure
Expenditure
Other
Classification
(Mrs. Hicks)

14. Defence
Expenditure

15. Mrs. Hicks classified Public Expenditure on the
basis of duties of government. It is as follows :-
a) Defence Expenditure :-
It is expenditure on defence equipments, wages and salaries of armed
forces, navy and airforce etc.
b) Civil Expenditure :-
Government/incurs this expenditure to maintain law and order and
administration of justice.
c) Development Expenditure :-
It is expenditure on development of agriculture, industry, trade and
commerce, transport and communication etc.