The following points sum up the role of government in public sector
(a) ** of the people: The modern state is a ** state that looks after the interests of its citizens. People pay different types of taxes and expect their representatives or the government to follow policies for their **. Services like railways, posts and telegraphs are run by the government for the ** of the people.
(b) Large expenditure: Some activities like construction of roads need large sums of expenditure that cannot be borne by the private sector. So, the government takes up such activities in the interest of the people in a democracy.
(c) Support of the government: There are some activities that need support of the government in the form of subsidy such as provision of foodgrains for the poor through ration shops. The government buys wheat, paddy etc. at a higher price but sells at a lower price at ration shops.
(d) Duty of the government: It is duty of the government to raise the living standard of the people. It should make arrangements for quality education and health services in order to take care of the poorest and most ignored regions of the country through increase in expenditure in such areas. Thus, the government takes up various activities and spends a lot of expenditure on them.
