Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: Government Budget and Economy

Question:

What needs to be subtracted from gross fiscal deficit to get gross primary deficit?

Options:

Revenue Expenditure

Net Interest Liabilities

Recovery of Loans

Non-tax Revenue

Correct Answer:

Net Interest Liabilities

Explanation:

Gross primary deficit = Gross fiscal deficit – Net interest liabilities