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What is Revenue Deficit?
10. What is Revenue Deficit?
- When expenses exceed revenue and indicate the financial health of a country
- Shortage of funds with the government to maintain its day-to-day affairs
- The shortfall in a government's income compared with its spending
- Difference between the current year's fiscal deficit and interest payment on previous borrowings
Answer: B) Shortage of funds with the government to maintain its day-to-day affairs
Explanation:
A Revenue Deficit happens when acknowledged net gain is not exactly the projected total compensation. This happens when the genuine measure of income or potentially the real measure of uses doesn't relate to planned income and uses. This is something contrary to an income excess, which happens when the real measure of total compensation surpasses the projected sum.