CSEET · Economic and Business Environment · Indian Union Budget
Total expenditure is Rs 48,00,000 crore, revenue receipts are Rs 31,00,000 crore, non-debt capital receipts are Rs 2,00,000 crore and interest payments are Rs 10,00,000 crore. What are the fiscal deficit and primary deficit respectively?
Fiscal deficit is Rs 15,00,000 crore and primary deficit is Rs 5,00,000 crore. Subtract revenue receipts and non-debt capital receipts, totalling Rs 33,00,000 crore, from expenditure of Rs 48,00,000 crore, then deduct interest payments of Rs 10,00,000 crore.
- ARs 15,00,000 crore and Rs 5,00,000 croreCorrect
- BRs 17,00,000 crore and Rs 7,00,000 crore
- CRs 15,00,000 crore and Rs 25,00,000 crore
- DRs 17,00,000 crore and Rs 27,00,000 crore
Explanation
Fiscal deficit = 48,00,000 - (31,00,000 + 2,00,000) = Rs 15,00,000 crore. Primary deficit = 15,00,000 - 10,00,000 = Rs 5,00,000 crore. Rs 17,00,000 crore arises from forgetting to deduct non-debt capital receipts, and adding interest gives the wrong primary figures.
Did you get it right without looking?
One question tells you little. A timed set on Indian Union Budget shows your real accuracy, how long you take and where you lose marks.
More Indian Union Budget questions
- The Appropriation Bill, introduced after the Lok Sabha passes the demands for grants, is intended to:
- Which of the following is a feature of a zero-based budgeting approach, as distinct from the traditional incremental approach?
- Which of the following is generally regarded as a core objective of the Union Budget in a mixed economy like India?
- Under Article 112 of the Constitution of India, the document laid before Parliament each year showing the Government's estimated receipts an…
- A government expenditure is treated as revenue expenditure when it:
- Which statement about the escape clause in the FRBM framework is correct?