In the budget-making process, what is the term used to describe the government's planned expenditure exceeding its expected revenue?

CA Foundation · Business Economics · MTP · January 2025
In the budget-making process, what is the term used to describe the government's planned expenditure exceeding its expected revenue?
(A) A. Budget surplus
(B) B. Budget deficit
(C) C. Balanced budget
(D) D. National Debt

Suggested Answer and Working Notes:

Correct Answer: Option (B)

B. Budget deficit

Topics: Public Finance

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