Multiple choice

Government non-development expenditure involves I. interest payments II. subsidies III. defence IV. irrigation

  1. II and III

  2. I, II and III

  3. I and IV

  4. All of these
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Non-development expenditure refers to government spending that does not contribute directly to productive capacity. This includes interest payments on debt, subsidies, and defense spending. Irrigation is typically classified as development expenditure.

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