Budget as an Instrument of Development

N J Jhaveri Any assessment of the government's budget based on financial data atone is naturally incomplete. Despite this limitation, however, the acute difficulty encountered by Finance Ministers in enhancing the investment component of incremental resource mobilisation in the recent years has been obvious. Financing of revenue expenditure out of potential or actual savings is clearly harmful The economic effects of raising 'additional' resources, which are often largely in the nature of intra-public sector transfers, similarly need thorough examination. All the more so, when the same tax base is often exploited by governments at different levels.