Multiple Choice Questions on If interest payment is deducted from the fiscal deficit then what would be left ........ for UPSC Civil Services Examination (General Studies) Preparation

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Multiple Choice Questions

If interest payment is deducted from the fiscal deficit then what would be left ........

Economic Affairs Public Finance and Debt Management
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    If interest payment is deducted from the fiscal deficit then what would be left?

    Primary deficit

    Correct Answer

    Budget  deficit

    Incorrect Answer

    monetary deficit

    Incorrect Answer

    Revenue deficit

    Incorrect Answer
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    Explanation:

     The primary deficit is define as the difference between current government spending on goods and services and total current revenue from all types of taxes net of transfer payments. Primary Deficit = Fiscal deficit-interest liabilities for a year.

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