Question :  The government budget of a hypothetical economy presents the following information

Revenue expenditure = 25000

Capital Receipts = 20000

Capital Expenditure = 35000

Revenue Receipts = 20000

Calculate Fiscal Deficit

Option 1: 12000

Option 2: 20000

Option 3: 10000

 

Option 4: None of the above

Question : The revenue deficit is calculated as ____________ minus revenue receipts.

Option 1: Total expenditure 

Option 2: Capital receipts 

Option 3: Capital expenditure

Option 4: Fiscal deficit

Question : Identify the incorrect equation.

Option 1: Revenue receipts = Tax revenue (net of State's share) less non-tax revenue

Option 2: Gross fiscal deficit = Total expenditure - (Revenue receipts + Non-debt creating capital receipts)

Option 3: Gross primary deficit = Gross fiscal deficit - Net interest liabilities

Option 4: Revenue deficit = Revenue expenditure - revenue receipts

Question : From the following data calculate total expenditure-
Fiscal deficit- 25050
Revenue deficit- 6250
Primary deficit- 100
Revenue receipts- 7620
Non-debt creating capital receipts- 40000
Capital expenditure- 72900
 

Option 1: 8670
 

Option 2: 86700
 

Option 3: 86770
 

Option 4: None of the above.
 

Question : Which of the following is correct.
 

Option 1: Primary deficit= fiscal deficit + interest payments
 

Option 2: Revenue deficit= total expenditure - total receipts
 

Option 3: Fiscal deficit= revenue expenditure - revenue receipts
 

Option 4: Primary deficit= fiscal deficit - interest payments.
Hence, Option D is correct.

Question : From the following data about the government budget, determine fiscal deficit.
Total receipts excluding borrowings- 40000
Revenue deficit- 5000
Capital expenditure- 45000
Revenue expenditure- 16000
Interest payments- 25% of revenue deficit.
 

Option 1: 19000
 

Option 2: 15000
 

Option 3: 25000
 

Option 4: 21000