CUET Preparation Today
What does the amount of "Fiscal deficit" equates to? |
Taxes received by the government Disinvestment to be done Borrowings from various sources None of the above |
Borrowings from various sources |
The correct answer is Option 3: Borrowings from various sources Fiscal deficit represents the total amount of borrowing that the government needs to cover its budgetary shortfall. It is calculated as the difference between the total expenditure and total revenue receipts (excluding borrowings) of the government. Essentially, it equates to the total amount the government needs to borrow to finance its deficit. |
