Final answer:
The claim that transfers for debt services and other non-routine transactions are recorded as expenditures is false. Transfer payments do not involve the government receiving goods or services, yet payments for debt services are considered expenditures.
Step-by-step explanation:
The statement that transfers for debt services and other non-routine transactions are recorded as expenditures is false.
Transfer payments are a form of government expenditure, where funds are paid out to individuals such as Social Security, disability, welfare, or unemployment compensation recipients. The government does not receive goods or services in return for these payments.
This allows those who receive the funds to participate in the economy. However, recording these transfers as expenditures is different from recording actual purchases of goods and services. The term 'expenditure' typically refers to the acquisition of goods and services for their value in contributing to a process or service.
When discussing debt services, payments made to service the interest and principal on debt are indeed considered expenditures because they are outflows of resources. However, these should not be confused with non-routine transactions, which may not always be classified strictly as expenditures depending on the accounting standards applied and specific transaction types.
Hence, the statement is false.