Distinguish between:Deficit budget and balanced budget

Answer»

Deficit budget	Balanced budget
It refers to the excess of total budget expenditure over the total budget receipts.	It refers to the budget in which the total budget expenditure is equal to the total budget receipts.
It leads to an increase in the	It has no effect on the liabilities or
liabilities of the government or causes a reduction in its reserves.	the reserves of the government.

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