Dhaka, June 5 -- Taxation has traditionally dominated the public discourse on public finance, and public spending has received far less attention. The term public spending is most commonly used to refer to the aggregate sum of money spent by the government. Two issues primarily influence the growing interest in public spending - ( 1) impact of public spending on the level of national income (GDP), and (2) how various types of public spending such as on infrastructure, health care and education etc. affect the economy and society.

The responsibility for spending money raised from taxation and other sources has become a central issue of the modern concept of government. In fact, public spending has become an important instrument of macroec...