Macro

Government Budget

Medium

Using the given information, calculate the Revenue Deficit:

S.No Items Amount ₹ (in crore)
1. Tax revenue (net of states' share) 790
2. Major subsidies 150
3. Defence expenditure 90
4. Non-tax revenue 140
5. Interest Payments 360
6. Reciept from PSU disinvestment 135

S.No	Items	Amount ₹ (in crore)
1.	Tax revenue (net of states' share)	790
2.	Major subsidies	150
3.	Defence expenditure	90
4.	Non-tax revenue	140
5.	Interest Payments	360
6.	Reciept from PSU disinvestment	135

240 crore

195 crore

465 crore

330 crore

✅ Correct Option: 4

Revenue Deficit = Revenue Expenditure $-$ Revenue Receipts. Revenue expenditure = subsidies 150 + defence 90 + interest payments 360 = 600. Revenue receipts = tax revenue 790 + non-tax revenue 140 = 930. Disinvestment receipts (135) are capital receipts and are excluded. Difference = 930 $-$ 600 = 330 crore.

Note: With these figures revenue receipts exceed revenue expenditure, so the 330 crore is technically a revenue surplus; we have reported the magnitude, matching the intended answer.

2026: 15 May Shift 1

The Proportional Income Tax, acts as an __________, a shock absorber because it makes disposable income, and thus consumer spending purposes less sensitive to fluctuation in GDP.

2026: 13 May Shift 2

When governments intervene to determine whether to expand demand or reduce it, constitutes which of the following governments functions?

2026: 12 May Shift 1

Which of the following is related to public provision?

2022: 10 Aug Shift 2

Match List - I with List - II.

List - I (Budgetary Terms)	List - II (Accounting Head)
(A) Interest Payments	(I) Revenue Receipts
(B) Grants-in-aid received	(II) Capital Expenditure
(C) Borrowings and other liabilities	(III) Revenue Expenditure
(D) Construction of flyover	(IV) Capital Receipts

Choose the correct answer from the options given below :

2022: 16 July Shift 2

_____ is included in the government budget as a capital receipt.

2025: 15 May Shift 1

When did GST came in effect in India?

Using the given information, calculate the Revenue Deficit: S.NoItemsAmount ₹ (in crore)1.Tax revenue (net of states' share)7902.Major subsidies1503.Defence expenditure904.Non-tax revenue1405.Interest Payments3606.Reciept from PSU disinvestment135

Solution

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CUET Economics Past Year Questions (Topic-Wise)

Using the given information, calculate the Revenue Deficit:

S.No Items Amount ₹ (in crore)
1. Tax revenue (net of states' share) 790
2. Major subsidies 150
3. Defence expenditure 90
4. Non-tax revenue 140
5. Interest Payments 360
6. Reciept from PSU disinvestment 135