Ans. The types of government budgets are as follows:
A. Balanced Budget : - Balanced budget is a situation, in which estimated revenue of the government during the year is equal to its anticipated expenditure.
Government's estimated Revenue = Government's proposed Expenditure.
For individuals and families, it is always advisable to have a balanced budget.
Unbalanced Budget : - The budget in which income & expenditure are not equal to each other is known as Unbalanced Budget.
Unbalanced budget is of two types they are Surplus Budget, Deficit Budget.
1. Surplus Budget
The budget is a surplus budget when the estimated revenues of the year are greater than anticipated expenditures.
Government expected revenue > Government proposed Expenditure.
2. Deficit Budget
Deficit budget is one where the estimated government expenditure is more than expected revenue.
Government's estimated Revenue < Government's proposed Expenditure.