Answer 1

Basis of Difference	Revenue Deficit	Fiscal Deficit
1. Meaning	Excess of revenue expenditure of the government over its revenue receipts.	Excess of the total budget expenditure over total budget receipts net of borrowings
2. Significance	The regular receipts of the government are not enough to meet its regular expenditures	The borrowings of the government, i.e. the debt capital receipts of the government
3. Formula	Revenue deficit = Revenue expenditure − Revenue receipts	Fiscal deficit = Total budget expenditure − (Total budget receipts − borrowings) i.e. Fiscal deficit = Borrowings