Question : What is the difference between a balanced budget and a surplus budget?
Option 1: A balanced budget has equal spending and revenue, while a surplus budget has more revenue than spending
Option 2: A balanced budget has more spending than revenue, while a surplus budget has equal spending and revenue
Option 3: A balanced budget has more revenue than spending, while a surplus budget has equal spending and revenue
Option 4: A balanced budget has equal spending and revenue, while a surplus budget has more spending than revenue
Correct Answer: A balanced budget has equal spending and revenue, while a surplus budget has more revenue than spending
Solution : The correct answer is (a). A balanced budget has equal spending and revenue, while a surplus budget has more revenue than spending.
A balanced budget refers to a situation where a government's spending equals its revenue. In other words, the government's expenses are completely covered by the revenue it receives from various sources, such as taxes, fees, and other income. A balanced budget ensures that there is no deficit or shortfall in funding the government's operations and obligations.
It's important to note that both a balanced budget and a surplus budget reflect a financially favorable situation for the government, as they indicate that revenue is at least equal to, or greater than, spending. These terms are often used in discussions about fiscal policy and government financial management.
Question : What is the difference between a deficit budget and a surplus budget?
Option 1: A deficit budget spends more than it earns, while a surplus budget earns more than it spends
Option 2: A deficit budget earns more than it spends, while a surplus budget spends more than it earns
Option 3: A deficit budget earns as much as it spends, while a surplus budget earns more than it spends
Option 4: A deficit budget spends as much as it earns, while a surplus budget spends more than it earns
Question : What is the difference between a balanced budget and a deficit budget?
Option 1: A balanced budget spends as much as it earns, while a deficit budget spends more than it earns
Option 2: A balanced budget earns as much as it spends, while a deficit budget spends more than it earns
Option 3: A balanced budget spends more than it earns, while a deficit budget earns more than it spends
Option 4: A balanced budget earns more than it spends, while a deficit budget spends as much as it earns
Question : What is the difference between a budget deficit and a national debt?
Option 1: A budget deficit is the difference between government spending and revenue in a given year, while the national debt is the accumulation of all previous deficits
Option 2: A national debt is the difference between government spending and revenue in a given year, while a budget deficit is the accumulation of all previous deficits
Option 3: A budget deficit is a surplus in government spending, while a national debt is a deficit in government spending
Option 4: A national debt is a surplus in government spending, while a budget deficit is a deficit in government spending
Question : What is a balanced budget?
Option 1: When government spending is equal to government revenue
Option 2: When government spending is greater than government revenue
Option 3: When government spending is less than government revenue
Option 4: When government spending is zero
Question : What is the difference between a budget resolution and an appropriations bill?
Option 1: A budget resolution sets spending and revenue targets, while an appropriations bill allocates funding to specific programs
Option 2: A budget resolution allocates funding to specific programs, while an appropriations bill sets spending and revenue targets
Option 3: A budget resolution and an appropriations bill are the same thing
Option 4: A budget resolution sets spending targets, while an appropriations bill sets revenue targets
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