WBCS.LIVE practice question

In the context of a government budget, what does the term “fiscal deficit” represent?

Solve this multiple-choice question and check the correct answer with its explanation below.

Answer options

  1. The surplus funds available for public spending.
  2. The total government debt.
  3. The portion of the budget allocated for defense spending.
  4. The difference between government revenue and government expenditure.

Correct answer and explanation

Correct answer: The difference between government revenue and government expenditure.