What's it: A cyclical budget deficit is when government spending exceeds government revenue, and it occurs due to economic conditions. In other words, the deficit occurs due to the ongoing economic cycle. For example, it increases
What's it: A budget deficit means expenditure exceeds income. While it is common to refer to government budgets, the term also applies to individuals, households, non-profit entities, and public bodies. When an individual or household
What's it: A structural budget deficit is when government spending exceeds government revenue, and it persists throughout the business cycle. In other words, the deficit is unrelated to the current business cycle.