CameraIcon
CameraIcon
SearchIcon
MyQuestionIcon
MyQuestionIcon
3
You visited us 3 times! Enjoying our articles? Unlock Full Access!
Question

From the following data about a government budget, find out (a) revenue deficit, (b) fiscal deficit, and (c) primary deficit:

Items (Rs in crore)

(i) Revenue receipts 55

(ii) Capital receipts 42

(iii) Non-tax revenue 18

(iv) Borrowings 40

(v) Revenue expenditure 88

(vi) Interest payments 28

Open in App
Solution

(a) Revenue Deficit = Revenue expenditure - Revenue receipts

= Rs. 88 crore - Rs. 55 crore

= Rs. 33 crore

(b) Fiscal Deficit = Borrowings

= Rs. 40 crore

(c) Primary Deficit = Fiscal deficit - Interest payments

= Rs. 40 crore - Rs. 28 crore

= Rs. 12 crore

(a) Revenue deficit = Rs. 33 crore

(b) Fiscal deficit = Rs. 40 crore

(c) Primary deficit = Rs. 12 crore


flag
Suggest Corrections
thumbs-up
0
Join BYJU'S Learning Program
similar_icon
Related Videos
thumbnail
lock
Debts and Deficits
ECONOMICS
Watch in App
Join BYJU'S Learning Program
CrossIcon