TYPES OF GOVERNMENT BUDGET

 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.