Vol. 3, Issue 2 (2018)
An economic analysis of Mizoram’s state finances: A sector wise analysis of the state’s expenditure on plan schemes
Author(s): Lalrinkimi Pachuau
Abstract: Analysis of public expenditure by the State is carried out in this study. The state’s social sector allocations as indicated by the financial allocation and social allocation although is on increase in the years, need to be enhanced further to address the human development concerns in the state of Mizoram. The capital outlays despite the increase need further enhancement and insulation from fiscal adversities given the poor economic infrastructure of the state. Ironically states with similar outlays on social and economic sectors have revealed better outcomes as compared to Mizoram, indicating the need to tone up effectiveness of public spending in Mizoram. Government subsidies have been an area of concern especially with the power sector subsidy posing a threat to the fiscal health of the state.