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balanced budget
When the government?s spending equals its revenue from, for example, taxation.A balanced Budget is a situation in financial planning or the budgeting process where total revenues are equal to or greater than total expenses
A budget can be considered balanced in hind sight after a full years worth of revenues and expenses have been inccured and recorded a company’s operating budget for an upcoming year can also be called as balanced based on predictions
A balanced budget could allow the government to increase spending and lower taxes when times are good and force during recession.This leads to a budget deficit because they need to borrow from the private sector.
A balanced budget refers to a budget in which revenues are equal to expenditures.
Thus neither a budget deficit nor a budget surplus exist.
More generally it refers to a budget that has no budget deficit but could possibly have a budge surplus.
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