Question

Is the fiscal deficit good?

Answer 1

Having to face a fiscal deficit means the total expenditure has crossed the line of total revenues by the government. Although in this deficit if the government has utilised the resources efficiently in building infrastructure like roads, highways, airports, and ports to help in the development of the nation, and have good economic growth, it is considered to be good.

Also see:

• Budget Deficit
• Trade Deficit
• Primary Deficit