Three of the following are main items of non-plan expenditure of the central government. Which one is the odd one out?
Answer & explanation
Correct answer: option 3
The correct answer is Option (3) → Central assistance for State and Union Territory plans
Plan revenue expenditure relates to the central Plans and to central assistance for State and Union Territory plans, so this item is plan expenditure. Interest payments, subsidies, and salaries and pensions are main items of non-plan expenditure.
NCERT (2026-27): “Revenue Expenditure … Budget documents classify total expenditure into plan and non-plan expenditure3. This is shown in item 6 on Table 5.1 within revenue expenditure, a distinction is made between plan and non-plan. According to this classification, plan revenue expenditure relates to central Plans (the Five-Year Plans) and central assistance for State and Union Territory plans. Non-plan expenditure, the more important component of revenue expenditure, covers a vast range of general, economic and social services of the … The main items of non-plan expenditure are interest payments, defence services, subsidies, salaries and pensions. …” |