ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -When the revenue is more than the expenditure it is called as surplus budget whereas when the expenditure is more than the revenue it is called as deficit budget.

Detailed explanation-2: -Fiscal deficit is the difference between the government’s total revenue and the total expenditure, excluding the borrowings. Revenue deficit arises when revenue expenditures exceed revenue receipts. Fiscal deficit indicates the required total borrowings of the government.

Detailed explanation-3: -If the budget receipts are less than the budget expenditure, then the budget is termed as a deficit budget. The above-mentioned is the concept that is explained in detail about balanced, surplus, and deficit budget for Class 12 students.

Detailed explanation-4: -A deficit occurs when the federal government’s spending exceeds its revenues. The federal government has spent $460 billion more than it has collected in fiscal year (FY) 2023, resulting in a national deficit. $

Detailed explanation-5: -While revenue deficit means that the total income is less than the total expenditure, a fiscal deficit measures the difference between the actual income and the budgeted income.