What is a budget deficit?

A budget deficit arises when government spending in terms of transfer payments,capital expenditure and and current expenditure exceeds government revenue mainly from taxes. This is, when government spending is greater than its revenue collected from taxes.

Answered by Sonam S. Economics tutor

2552 Views

See similar Economics A Level tutors

Related Economics A Level answers

All answers ▸

Discuss the effectiveness of fiscal policy to counter recession


Discuss the view that falling unemployment will inevitably lead to trade-offs with other macroeconomic policy objectives


Using the data in Extract A, calculate, to one decimal place, the percentage change in the total net trade balance in goods with the UK’s top five trade partners from February - April 2012 to February–April 2013.


Which is preferable inflation of deflation? (25 marker)


We're here to help

contact us iconContact usWhatsapp logoMessage us on Whatsapptelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

© MyTutorWeb Ltd 2013–2025

Terms & Conditions|Privacy Policy
Cookie Preferences