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Budget Deficit implies the difference between earnings and spendings by the government. If written very simply say tax collections as earnings and some kind of spendings. Now if the spending is more than earnings it implies that the government is spending more than it can afford (either on credit or by taking loans which may be unsustainable) and causing a pseudo demand or excess demand relative to a given supply causing a demand pull inflation. Later if the government fails to say repay the debt the value of the economy's currency may depreciate as it would indicate that the economy doesnot have enough production/investment capabilities to meet the debts.
What else can I help you with?
When does a budget surplus result?
A budget surplus results when the goverment collects more money than it spends.
When did the first federal budget surplus in three decades occur?
in 1998 the United States achieved its first federal budget surplus
Was there a budget surplus in 2006?
Yes, in 2006, the U.S. federal government recorded a budget surplus of approximately $248 billion. This surplus was largely attributed to increased tax revenues and a decrease in government spending. It marked the first budget surplus since 2001 and reflected a period of economic growth during that time.
What can the government do when it a budget surplus?
Pay back bondholders
When the government runs a budget deficit what must it eventually do in order to pay back its debt?
Have a budget surplus
When the government runs a budget deficit what must in eventually do in order to pay back its debt?
have a budget surplus
Can you make a sentence with Budget surplus?
The government could invest now because of the budget surplus that they had.
When does a budget surplus result?
A budget surplus results when the goverment collects more money than it spends.
When revenues exceed expenditures, _____.?
there is a budget surplus
What is surplus budget?
A surplus budget is a year in which more money is taken in than is spent. This situation is very unusual in recent years, but did occur a couple of times in the 1990s.
Which year Pakistan budget is surplus?
1969, 1998, 1999, 2000, and finally 2001 these five years had budget surplus for Pakistan
When did the first federal budget surplus in three decades occur?
in 1998 the United States achieved its first federal budget surplus
Was there a budget surplus in 2006?
Yes, in 2006, the U.S. federal government recorded a budget surplus of approximately $248 billion. This surplus was largely attributed to increased tax revenues and a decrease in government spending. It marked the first budget surplus since 2001 and reflected a period of economic growth during that time.
When revenue exceeds expenditures?
there is a budget surplus
What are the kinds of budget included in strategic plan?
Budget deficit, surplus, and balanced.
Did president bush inherit a budget surplus fron president Clinton?
When Bill Clinton left office it was believed that he left with a budget surplus. It has since been reported that there was no actual surplus; it was all "on paper."
Since 1965 the federal budget?
Has shown a budget surplus for only two years
