ASi" kUCTURE FlOR DEVELOPMENT

aacoss countries. i many economies, prvate health dress of regional imbalances; and creation of emand
education services are substantial; in others, ployment opportunities. Research, trade promotion,
public services represent the major component of geological surveys, and inspection and regulation of
totaL expenditure but may be financed by lower lev- particular industry groups are among the activities
els of government. Caution should therefore be ex- included.
ercsed in using the data for cross-country compar-, Othzer covers general public services, interest payisons.
Centml govermnent expenditure comprises ments, and items not included elsewhere; for a few
the expenditure by all govenunent offices, depart- economies it also indudes amounts that could not
ments, establislunents, and other bodies that are be. allocated to other components (or adjustments
agencies or instruments of tlhe central authority of a from accrual to cash accounts).
country It indudes both current and capital (devel- Total erpendithre is more narrowly defined than
opment) expenditurtthe measure of generl govement consumption
De: Lrse comprises all expenditure, whether by given in Tables 8 and 9 because it excludes condefense
or other departments, on the maintenance sumption expenditure by state and local governof
military forces, including the purchase of military ments. At the same time, central government expensupplies
and equipment, construction, recruiting, diture is more broadly defined because it includes
and training. Also in this category are closely re- government's gross domestic investment and traislated
items such as military aid programs. Defense fer payments...
does not include expenditure on public order and Overall surplusdeicit is defined. as current and
safety, which are classified separately.
capital revenue and official grants received, less
Edutcation comprises expenditure on the provi- total expenditure and lending minus repayments.
sion, management, inspection, and support of
prepinary, primary, and secondary schools; of uni- Table 1. Central government current revenue
versities and colleges; and of vocational,, technical,
and other tamining instititions. Also included is ex- Information on data sources and comparability and
pendituxe on the general administration and regula- the definition of central government is given in the
tion of the education system; on research into its ob- first four paragraphs- of the note for Table 10. Curjectives,
organization, administration, and methods; rent revenue by source is expressed as a percentage
and on such subsidiary services as trnsport, school of total cunret revenue, which is the sum of tax revmeals,
and school medical and dental services. enue and nontax revenue and is calculated from na-
Health covers public expenditure on hospitals, tional currencies.
maternity and dental centers, and clinics with a Tax revenue comprises compulsory, unrequited,
major medical component; on national health and nonrepayable receipts for public purposes. It inmedical
insurance schemes; and on family plannig dludes interest collected on tax arrears and penalties
and preventive care.
collected on nonpayment or late payment of taxes
Housing, amenities, social security, and welire cover and is shown net of refunds and other corrective
expenditure on housing (excluding interest subsi- transactions. Taxes on income, profit, and capital gain.
dies, which are usually classified with other) such as are taxes levied on the actual or presumptive net inincome-related
schemes; on provision and support come of individuals, on the profits of enterprises,
of housing and slum-dearance activities; on com- and on capital gains, whether realized on land sales,
X- muniily development; and on sanitation services securities, or other assets. Intragovemmental pay-
These categories also cover compensation for loss of ments are eliminated in consolidation. Social security
income to the sick and temporarily disabled; pay- contibutions include employers' and employees'
ments to the elderly, the permanently disabled, and social security contributions as well as those of selfthe
unemployed; family, maternity, and child .al- employed and unemployed persons. Taxes on goods
lowances; and the cost of welfare services, such as a.nd services cover all domestic taxes including gencare
of the aged, the disabled, and children. Many. eral sales and turnover or value added taxes, selecexpenditures
relevant to environmental defense, tive excises on goods, selective taxes on services,
such as pollution abatement, water supply, sanitary taxes on the use of goods or property, and profits of
affairs, and refuse collection, are induded indistin- fisc monopolies. Taxes oit international trade and
- guishably in this category. transactions include import duties, export duties,
Ed withc sete ces compnse expenditure associ- profits of export or import monopolies, exchange
ated with the regulation, support, and more efficient profits, and exchange taxes Other taxes indude emoperation
of business; economic development re- ployers' payroll or labor taxes, taxes on property,
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