Effectiveness of Public Expenditure and Economic Growth and Employment in Tamil Nadu

Abstract

Public expenditure on human capital is a key determinant of economic growth. Strategic investments in education, healthcare, and skills development can lead to a more productive, innovative, and healthier population, thereby fostering sustained economic development. However, the effectiveness of this expenditure is contingent on factors such as the quality of spending, equity considerations, and the alignment of education with labor market needs. The study examined the public expenditure on human capital and economic growth. The study has taken Tamil Nadu for analysis. The results indicated that human capital investment entails significant impact on human development indicators directly supplemented to the economic growth through the sound human capital.