Document
Index
Budget Paper 1
Budget Statement 9
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Index |
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This Appendix provides an overview of the size and structure of the Australian
non-financial public sector to assist in interpreting the trends discussed in Parts II
and III of the Statement.
As shown in Chart A1, the public sector directly accounts for around
21 per cent of civilian employment and 22 per cent of final domestic
demand[3]. The State/local level accounts for about
82 per cent of total public sector civilian employment, reflecting its major
responsibilities for service delivery -- for example in the areas of education and
health -- and for infrastructure.
| Chart A1: Contribution of public and private sectors | |
| Total Employment, September 1998 | Domestic Demand, 1997-98 |
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There are significant differences in the roles and responsibilities of the two main
levels of government. Major Commonwealth outlays include transfer payments in relation to
social security, welfare, health and defence expenditure. The Commonwealth also has an
important role in funding education and health services provided by the States and the
private sector. Major State/local outlays are in the areas of education, health,
transport, and public order and safety.
In 1997-98, the Commonwealth raised 73 per cent of total general government
revenue. However, Commonwealth own purpose outlays only directly accounted for
57 per cent of total general government outlays. A significant share of
Commonwealth revenue is passed on to the State/local level in the form of grants, which
account for 39 per cent of State/local general government revenue. Further
information on inter-governmental transfers is provided in Budget
Paper No. 3 -- Federal Financial Relations.
