Question
Which of the following deficits indicates the true
current fiscal position of the Indian Economy?Solution
The true current fiscal position of an economy is best indicated by the primary deficit. The primary deficit is the fiscal deficit of the current year minus interest payments on previous borrowings. It provides insight into the government's borrowing needs, excluding interest payments, and indicates whether the government is managing its current expenditures within its revenues, excluding debt interest payments.
Before SEBI came into existence, which of the following was the regulatory authority for capital markets?
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