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Arrange the recent trends in deficits in the decreasing order
- Revenue Deficit
- Fiscal Deficit
- Primary Deficit
- Effective Revenue Deficit
Select the correct answer code:
- a)2-1-3-4
- b)1-2-3-4
- c)2-1-4-3
- d)1-2-4-3
Correct answer is option 'A'. Can you explain this answer?
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Arrange the recent trends in deficits in the decreasing order Revenue ...
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Arrange the recent trends in deficits in the decreasing order Revenue ...
Revenue Deficit
Revenue deficit is the excess of revenue expenditure over revenue receipts. It indicates the shortfall of revenue receipts in meeting the revenue expenditure. In recent trends, revenue deficit has been decreasing due to efforts to improve revenue generation and control expenditure.
Fiscal Deficit
Fiscal deficit is the excess of total expenditure over total revenue receipts. It shows the borrowing requirements of the government. In recent trends, fiscal deficit has also been decreasing as the government aims to reduce its borrowing and control spending.
Primary Deficit
Primary deficit is the fiscal deficit minus interest payments. It indicates the borrowing requirements of the government excluding interest payments. In recent trends, primary deficit has been decreasing as the government focuses on reducing its borrowing and debt burden.
Effective Revenue Deficit
Effective revenue deficit is the revenue deficit minus grants for the creation of capital assets. It shows the revenue deficit adjusted for capital expenditure. In recent trends, effective revenue deficit has also been decreasing as the government aims to improve the quality of its spending and reduce wasteful expenditure.
Therefore, the correct order of recent trends in deficits in decreasing order is 2-1-3-4, which means Revenue Deficit is decreasing the most followed by Fiscal Deficit, Primary Deficit, and Effective Revenue Deficit.
Revenue deficit is the excess of revenue expenditure over revenue receipts. It indicates the shortfall of revenue receipts in meeting the revenue expenditure. In recent trends, revenue deficit has been decreasing due to efforts to improve revenue generation and control expenditure.
Fiscal Deficit
Fiscal deficit is the excess of total expenditure over total revenue receipts. It shows the borrowing requirements of the government. In recent trends, fiscal deficit has also been decreasing as the government aims to reduce its borrowing and control spending.
Primary Deficit
Primary deficit is the fiscal deficit minus interest payments. It indicates the borrowing requirements of the government excluding interest payments. In recent trends, primary deficit has been decreasing as the government focuses on reducing its borrowing and debt burden.
Effective Revenue Deficit
Effective revenue deficit is the revenue deficit minus grants for the creation of capital assets. It shows the revenue deficit adjusted for capital expenditure. In recent trends, effective revenue deficit has also been decreasing as the government aims to improve the quality of its spending and reduce wasteful expenditure.
Therefore, the correct order of recent trends in deficits in decreasing order is 2-1-3-4, which means Revenue Deficit is decreasing the most followed by Fiscal Deficit, Primary Deficit, and Effective Revenue Deficit.
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Arrange the recent trends in deficits in the decreasing order Revenue Deficit Fiscal Deficit Primary Deficit Effective Revenue DeficitSelect the correct answer code:a)2-1-3-4b)1-2-3-4c)2-1-4-3d)1-2-4-3Correct answer is option 'A'. Can you explain this answer?
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