The role of public expenditure on the development of the state economy : Final paper

Javne financije čine početnu granu bavljenja ekonomijom te obuhvaćaju javni sektor unutar kojega se proučava njegovo financiranje, razina ekonomske aktivnosti, alokacija resursa te raspodjela dohotka, a time i javni prihodi te rashodi koji zajedno čine sveobuhvatnost financijskog sustava. Pomoću javnih financija objašnjava se način na koji država raspolaže državnim novcem. Nadalje, na taj način moguće je vidjeti koliki su troškovi državnog razvoja i vođenja te kako se država financira. Javni rashodi predstavljaju izdatke koje država čini u skladu s javnim interesom kako bi se zadovoljile javne potrebe. Vrlo često se pod pojmom javnih rashoda podrazumijevaju javne potrebe. Javne funkcije koje izvršava država utječu na raspon u kojem će se kretati javni rashodi. S obzirom na velike izdatke sve više dolazi do rasta javnih rashoda. Razlozi za takve poraste pronalaze se u stvarnim te prividnim uzrocima. Također važno je napomenuti kako je nastankom javnih potreba nužno napraviti plan kako će se te potrebe financirati, a tek nakon toga pronaći način kako pribaviti ta sredstva. Cilj ovog rada analizirati je javne rashode kao izdatke koje podmiruje središnja država te regionalna i lokalna državna tijela s ciljem zadovoljenja javnih potreba. Analizirani su stvarni te prividni uzroci porasta javnih rashoda. Na osnovi definiranja načela javnih rashoda te njihove klasifikacije i strukture kao i instrumenata financiranja istih izneseni su zaključci o utjecaju na ekonomsku politiku razvoja.Public finances are the initial branch of the economy and include the public sector, which studies its financing, level of economic activity, resource allocation and income distribution, and thus public revenues and expenditures, which together make up the comprehensiveness of the financial system. Public finances explain the way in which the state disposes of state money. Furthermore, in this way it is possible to see what the costs of state development and leadership are and how the state is financed. Public expenditures are expenditures that the state incurs in accordance with the public interest in order to meet public needs. Very often, the term public expenditures means public needs. Public functions performed by the state affect the range in which public expenditures will move. Given the large expenditures, there is an increase in public expenditures. The reasons for such increases are found in real and apparent causes. It is also important to note that with the emergence of public needs, it is necessary to make a plan for how these needs will be financed, and only then find a way to obtain these funds. The aim of this paper is to analyze public expenditures as expenditures covered by the central government and regional and local government bodies in order to meet public needs. The real and apparent causes of the increase in public expenditures were analyzed. Based on the definition of the principles of public expenditures and their classification and structure, as well as the instruments of their financing, conclusions on the impact on economic development policy are presented