Match each deficit with what it tells us.

Question 47

MediumOriginal question

List I	List II
A. Revenue deficit	I. Total borrowing needed in the year
B. Fiscal deficit	II. Revenue is more than enough for day-to-day spending
C. Primary deficit	III. Borrowing used for day-to-day spending
D. Revenue surplus	IV. Borrowing needed apart from interest on past debt

A-III, B-IV, C-II, D-ICorrect answerYour answerA-III, B-I, C-IV, D-IICorrect answerYour answerA-IV, B-III, C-I, D-IICorrect answerYour answerA-II, B-I, C-IV, D-IIICorrect answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer B

Correct answer: B

Each measure looks at a different slice of the budget.

Concept: Reading the deficits
Typical timeTypical: 90 s
Your timeYours: —

The rule this testsWhat deficits do

Practise this chapter →

Ten questions from Budget Deficits, at your own pace.

Practise this chapter →

Ten questions from Budget Deficits, at your own pace.

Match each deficit with what it tells us.

Question 47

Explanation