Definition of Balanced budget:
Government budget where the current expenditure equals current revenue. Most government budgets are unbalanced almost always on the expense side, purportedly to spur growth and reduce unemployment by creating demand with additional money supply.
The phrase "balanced budget" is commonly used in reference to official government budgets. For example, governments may issue a press release stating that they have a balanced budget for the upcoming fiscal year, or politicians may campaign on a promise to balance the budget once in office.
A balanced budget is a situation in financial planning or the budgeting process where total expected revenues are equal to total planned spending. This term is most frequently applied to public sector (government) budgeting. A budget can also be considered balanced in hindsight after a full year's worth of revenues and expenses have been incurred and recorded.
How to use Balanced budget in a sentence?
- A balanced budget occurs when revenues are equal to or greater than total expenses.
- Proponents of a balanced budget argue that budget deficits burden future generations with debt.
- A budget can be considered balanced after a full year of revenues and expenses have been incurred and recorded.
Meaning of Balanced budget & Balanced budget Definition