Government budgets in a planned economy are instruments of social and economic change in underdeveloped countries. They reflect the thrust areas of such change. Budgetary and financial data capture the dynamics of change taking place in the country during the past few decades.
Analysis of central government budgetary data falls in the the realm of public finance. The macro-economic categories like revenue, expenditure, savings, etc. present an economic picture of the country through their inter-relationships.
This book analyses the growth in these macro-economic categories and their direction in the last few decades in India and presents them in a lucid way intelligible to the general public. The book, to a great extent, removes what is mystifying about government budgets, guides the reader through the maze of figures to arrive at the conclusions.
At the present juncture the book assumes great importance to economists, policy-makers and legislators in identifying the problems leading to fiscal imbalance.
S.P. Ganguly retired from the Indian Audit and Accounts Service at the end of 1985. He retired from the post of Commissioner-cum-Secretary, Finance Department. Government of Tripura, while holding the rank of Accountant General in the Indian Audit and Accounts department.
This book has, therefore, behind it the experience of a person who was responsible for the formulation of budget of a state, in addition to his intimate knowledge of budget, finance and accounts, as a member of the Indian Audit and Accounts Service. His other book, Fundamentals of Government Budgeting in India, received laudable comments from the then Comptroller and Auditor General of India.
The analysis of the figures of Budget and Accounts of the Central Government in this book is a simple analysis and not an economist's analysis. However, a chapter has been added in this book on economic and functional classification of Central Government Budget.
I shall regard my labour fruitful if this book is useful to the readers in appreciating the financial problems and policies of the Central Government in proper perspective.
Shri Rochila Saiawi, IA&AS, has kindly gone through the manuscript of this book and made some suggestions. I am grateful to him for this assistance.
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