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प्रश्न
Explain 'Revenue Deficit in a Government budget? What does it indicate?
What is revenue deficit in government budget?
Explain the meaning of Revenue deficit
What is revenue deficit?
Define revenue deficit
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उत्तर
Revenue deficit means the excess of revenue expenditure of the government over its revenue receipts.
Revenue deficit = Revenue expenditure − Revenue receipts
Revenue deficit is indicated to the government as follows:
- Regular receipts of the government are not enough to meet regular expenditures.
- The government is using up savings of other sectors of the economy to meet its consumption expenditure.
- This gives a signal to either reduce its expenditure or increase its revenue. Curtail expenditure by taking steps to avoid unproductive expenses and increase revenue from various sources of tax and non-tax revenues
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संबंधित प्रश्न
Fiscal deficit equals :
(a) Interest payments
(b) Borrowings
(c) Interest payments less borrowing
(d) Borrowing less interest payments
Define revenue
Consider an economy described by the following functions:- C = 20 + 0.80Y, I = 30, G = 50, TR = 100 (a) Find the equilibrium level of income and the autonomous expenditure multiplier in the model. (b) If government expenditure increases by 30, what is the impact on equilibrium income? (c) If a lump-sum tax of 30 is added to pay for the increase in government purchases, how will equilibrium income change?
Suppose marginal propensity to consume is 0.75 and there is a 20 per cent proportional income tax. Find the change in equilibrium income for the following (a) Government purchases increase by 20 (b) Transfers decrease by 20.
Suppose you are a member of the "Advisory Committee to the Finance Minister of India". The Finance Minister is concerned about the rising Revenue Deficit in the budget.
Suggest anyone measure to control the rising Revenue Deficit of the government.
The primary deficit in a government budget is ______.
Which of the following factors necessitated the need for economic reforms?
Read the following statements carefully and choose the correct alternatives given below:
Statement 1: Fiscal Deficit = Total Budget Expenditure - Total Budget Receipts (Net of borrowing)
Statement 2: Primary Deficit = Fiscal Deficit + Interest Payments.
______ in the budget is an important measure of deficit.
The difference between fiscal deficit and interest payment is known as ______
Which of the following statements are correct
Statement 1: Fiscal deficits are not necessarily inflationary; though, they are generally regarded as inflationary.
Statement 2: When the government expenditure increases and tax reduces, there is a government deficit and there will be a corresponding increase in the aggregate demand.
______ are the transactions between the residents of two countries that take place due to consideration of profit.
If India exports goods worth ₹20 crores and imports goods worth ₹30 crores, it will have a ______
Identify the correctly matched pair of the items in Column A to those in Column B:
| Column A | Column B | ||
| 1 | Fiscal Deficit | (a) | Other than interest payments |
| 2 | Primary Deficit | (b) | Borrowings less interest payments |
| 3 | Revenue Deficit | (c) | Borrowings |
| 4 | Tax Deficit | (d) | Borrowings in government budget |
Primary deficit is borrowing requirements of government for making:
Identify which of the following statements is true.
The shape of average revenue curve in monopoly is ______
Compare the trends depicted in the figures given below:
| Figure 1: Trends in Fiscal deficit and Primary deficit |
Figure 2: Fiscal deficit as a percent of Budget estimate |
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