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    Question

    The Effective Revenue Deficit excludes which of the

    following?
    A Capital Receipts Correct Answer Incorrect Answer
    B Interest Payments Correct Answer Incorrect Answer
    C Grants for creation of capital assets Correct Answer Incorrect Answer
    D Revenue Expenditure Correct Answer Incorrect Answer
    E Disinvestment Proceeds Correct Answer Incorrect Answer

    Solution

    Introduced in 2011–12, the Effective Revenue Deficit = Revenue Deficit – Grants for capital creation. It refines the true measure of current expenditure.

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