ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Budget surplus occurs when the government’s earning through tax revenues is more than its spending in the current quarter or year. It signifies that an economy is moving in the right direction with its government having a considerable earning power.

Detailed explanation-2: -A budget surplus is when income or revenue exceeds expenditures. Governments and companies with surpluses have additional money that can be reinvested or used to pay off debts. The opposite of a surplus is a deficit, which occurs when spending exceeds revenues.

Detailed explanation-3: -2 When is a budget said to be a surplus budget’? Answer: If the budget receipts are more than the budget expenditure, then the budget is termed as a surplus budget.

Detailed explanation-4: -What is a budget surplus and a budget deficit? A budget surplus is when extra money is left over in a budget after expenses are paid. A budget deficit occurs when the federal government spends more money that it collects in revenue.

Detailed explanation-5: -A balanced budget is when the government spends an amount equal to the amount it collects in taxes. A budget deficit is when the government spends more than it collects in taxes. A budget surplus is when the government collects more in taxes than it spends.