An Economic-cum-Purpose Classification of The Karnataka Government Budget 2000-2001

Abstract

From Introduction: The budget of the State Government, presented to the State Legislature every year is primarily designed to meet the needs of administration and the authorisation of expenditure and revenue proposals by the State legislature. The budget presented to the Legislature and passed by it, does not bring out the economic significance of the budgetary transactions of the Government except providing details of receipts and expenditure and other departmental financial transactions of the Government during a specific period. In order to assess the economic significance of the budgetary transactions, a reclassification of the budget becomes necessary and it has been done in such a way as to throw light on the extent of capital formation out of the budgetary resources, savings of the Government, the contribution of the Government to the State Domestic Product etc.,