Advantages of Public
Expenditure
The Public Expenditure is one
of the important tool of fiscal .The Expenditure has the following
advantages.
1. More Jobs in the Economy :- One of the
reason for high public expenditure is to create more jobs in the
economy. we know that high unemployment rate in the economy create a
pressure for the govt , Therefore Govt like to have enough jobs in the
country.
2. Boost for Industries ;- The
development expenditure by Govt will boost the relevant
industries. for example announcement of big projects of infrastructure
will boost the industry.
3. Raise the Demand :- The public
expenditure will also raise for the Good and this raise in demand will
attract new investment.
4. Growth Rate improve :- The raise in
demand will attract new investment and this will increase the output in
the economy.
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