Question

    What is the definition of fiscal deficit?

    A Increase in expected inflation, and expected appreciation of the currency Correct Answer Incorrect Answer
    B Increase in inflation within the Indian economy Correct Answer Incorrect Answer
    C Excess of total expenditure over total receipts excluding debt Correct Answer Incorrect Answer
    D Decrease in expected inflation, and expected appreciation of the currency. Correct Answer Incorrect Answer

    Solution

    Fiscal deficit arises when the expenditure of a government is more than the revenue generated by the government in a given fiscal year.

    Practice Next

    Relevant for Exams: