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What is the primary deficit in the context of Indian budget?
  • a)
    It is the difference between the government’s total expenditure and its total receipts excluding borrowing
  • b)
    It is the excess of government’s revenue  expenditure over revenue receipts
  • c)
    It is the difference between the fiscal deficit of the current year and interest payments on the previous borrowings
  • d)
    It is the difference between Revenue Deficit and Grants for Creation of Capital Assets
Correct answer is option 'C'. Can you explain this answer?
Most Upvoted Answer
What is the primary deficit in the context ofIndian budget?a)It is the...
Primary deficit = fiscal deficit - interest payments. Standard formula
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What is the primary deficit in the context ofIndian budget?a)It is the...
's total revenue and total expenditure, excluding interest payments.
b)It is the difference between the government's total revenue and total expenditure, including interest payments.
c)It is the difference between the government's total expenditure and total revenue, excluding interest payments.
d)It is the difference between the government's total expenditure and total revenue, including interest payments.
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What is the primary deficit in the context ofIndian budget?a)It is the difference between thegovernment’s total expenditure and itstotal receipts excluding borrowingb)It is the excess of government’s revenue expenditure over revenue receiptsc)It is the difference between the fiscal deficit of the current year and interest payments onthe previous borrowingsd)It is the difference between RevenueDeficit and Grants for Creation of CapitalAssetsCorrect answer is option 'C'. Can you explain this answer?
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