Multiple Choice Questions on If Borrowings are added to Budgetary deficit we get........ for UPSC Civil Services Examination (General Studies) Preparation

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Multiple Choice Questions

If Borrowings are added to Budgetary deficit we get........

Economic Affairs Public Finance and Debt Management
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    If Borrowings are added to Budgetary deficit we get

    Primary deficit   

    Incorrect Answer

    Budget  deficit

    Incorrect Answer

    Fiscal deficit

    Correct Answer

    Revenue deficit

    Incorrect Answer
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    Explanation:

    A fiscal deficit occurs when a government's total expenditures exceed the revenue that it generates, excluding money from borrowings. Deficit differs from debt, which is an accumulation of yearly deficits.

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