ECONOMICS
BUDGET DEFICITS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Budget receipts
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budget expenditure
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Government deficit
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none of the above
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Detailed explanation-1: -To correct its nation’s budget deficit, often referred to as a fiscal deficit, a government may cut back on certain expenditures or increase revenue-generating activities.
Detailed explanation-2: -megadebt. negative cash flow. no assets. overspending. paying out in excess of income.
Detailed explanation-3: -A budget deficit occurs when money going out (spending) exceeds money coming in (revenue) during a defined period. In FY 2022, the federal government spent $6.27 trillion and collected $4.90 trillion in revenue, resulting in a deficit.
Detailed explanation-4: -Fiscal Deficit and Budget Deficit The higher the amount the Fiscal Deficit, the higher will be the borrowed amount. Thus, the Budgetary deficit is the only difference between all the receipts and all the expenses in both terms, that is revenue and capital account of the government.