Question

Mention the difference between public and private expenditure

Answer 1

Public expenditure is done by the government while private expenditure is done by individuals or private entities.

Public expenditures are done with the aim of improving the present situation and for the welfare of the people.

Private expenditure is done with the aim of making profits on the amount one has spent.

Answer 2

The main purpose of the public expenditure is social welfare along with the whole nation whereas private expenditure is mainly for our own welfare along with our families.

Another reason is that we can make a budget for our private expenditure to control the total cost whereas government have to check on the estimate and then find out the methods to gain revenue.