A New Fiscal Situation
From Current Affairs Notes for UPSC » Editorials & In-depths » This topic
What is fiscal deficit?
- Fiscal deficit is the difference between the total revenue and total expenditure incurred by the government. The total revenue part doesn’t include the government’s borrowings.
- It indicates the borrowing required by the government.
- Fiscal deficit happens due to:
- A situation of revenue deficit
- A major increase in capital expenditure
- It has been the primary metric used for evaluating budgets in the last decade i.e.
- How much the government seeks to reduce it by?
- How credible are these targets
Related Posts
If you like this post, please share your feedback in the comments section below so that we will upload more posts like this.
Responses