When government revenues minus expenses is i.positive,the government has a budget surplus.
Ii)negative,the government has a budget deficit.
Iii)zero,the government has a balanced budget.

Question

Quizplus · Accepted Answer

Government revenues minus expenses is commonly known as the government's budget. When government revenue is larger than the expenses, the government has a budget surplus, which means the government has extra money that can be used to pay off debt or invest in projects. When the government expenses are greater than the revenue, a budget deficit occurs, and the government must borrow money to cover that difference. When the revenue and expenses are equal, the government has a balanced budget. Therefore, all three statements are correct.

When Government Revenues Minus Expenses Is I