balanced budget

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Related to Balanced budgets: Fiscal responsibility

Balanced budget

A budget in which the income equals expenditure. See: budget.

Balanced Budget

A budget in which revenues equal or exceed expenditures. A balanced budget is thought to be positive for a company, as it means that the company is not taking on any (additional) debt in order to conduct its operations; if revenues exceed expenditures, it results in a profit. Balanced budgets may be recognized after a fiscal year is complete, or they may be projected for an upcoming year.

balanced budget

A budget in which the expenditures incurred during a given period are matched by revenues.

balanced budget

a situation where GOVERNMENT EXPENDITURE is equal to TAXATION and other receipts. In practice, most governments run unbalanced budgets as a means of regulating the level of economic activity Where the government spends more than it receives in taxation, then a BUDGET DEFICIT is incurred. Where the government spends less than it receives in taxation, then a BUDGET SURPLUS ensues. See BUDGET, FISCAL POLICY, PUBLIC SECTOR BORROWING REQUIREMENT.
References in periodicals archive ?
The BBV is a novel form of line item veto that would eliminate what always has been the fatal flaw in any balanced budget mandate--the lack of an effective enforcement mechanism favoring spending cuts over tax increases.
The first balanced budget amendment was proposed in 1936, and since then, numerous constitutional mandates to prohibit deficit spending have been initiated in Congress.
The focus of this battle should be the balanced budget veto.
Instead, it creates a mechanism that is flexible enough to permit Congress to cope with genuine military or economic crises, while strong enough to compel a balanced budget in the absence of such situations.
The balanced budget legislation is intended to insure the province continues to live within its means.
The Act has three main divisions: respectively, a balanced budget requirement, retirement of the Province's general purpose debt, and a restriction on tax increases.
The Fiscal Stabilization Fund plays an important role in this legislation by providing flexibility to deal with unexpected fluctuations in revenue or necessary expenditure and still achieve a balanced budget.
Ron Snel, State Balanced Budget Requirements: Provisions and Practice, National Conference of State Legislatures, forthcoming.
The relevance of the 1932 experience to today's ongoing debate over the Balanced Budget Amendment goes beyond the obvious point that it is foolish to raise tax rates during a depression.
Consider this: If the Balanced Budget Amendment had been in place in 1932, the tax increase enacted at that time would have been in perfect conformity with law.
The time has come when, if the Government is to have an adequate basis of revenue to assure a balanced budget,.
If those targets are not met, the province's balanced budget legislation will require the shortfall to be made up within the following two fiscal years.