GK
INDIAN ECONOMY
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
|
|
Public Expenditure-Debts froms sources other than RBI
|
|
|
Public Capital Expenditure-Surplus of Revenue Account
|
|
|
Govt. Expenditure-Revenue receipts
|
|
|
Public Expenditure-Tax and non-tax revenue receipts
|
Detailed explanation-1: -Fiscal Deficit is the difference between the total income of the government (total taxes and non-debt capital receipts) and its total expenditure. While calculating the total revenue, borrowings are not included. Hence, Fiscal Deficit is-Budget expenditure-Budget receipts excluding borrowings.
Detailed explanation-2: -Fiscal deficit refers to the difference between total receipts and total expenditure.
Detailed explanation-3: -Types of Deficits in India Primary Deficit: Fiscal deficit as reduced by interest payments. Effective Revenue Deficit: Revenue deficit as reduced by grants for the creation of capital assets. Monetized Fiscal Deficit: The part of the fiscal deficit which is covered by the borrowing from the RBI.
Detailed explanation-4: -When the government’s total revenue expenditure exceeds its total revenue receipts, that means the net income is less than the net expenditure, revenue deficit occurs. This deficit is seen when the actual amount of revenue or expenditure does not correspond with the budgeted revenue or expenditure.