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Budget deficit

Government spending in excess of revenue over a period; the opposite balance is called a surplus.

How to read the number

A deficit is closed by borrowing, by reserves or by issuance, and the choice decides who pays: bondholders, future budgets, or everybody at once through prices.

When the metric lies

A single month says almost nothing — spending is uneven through the year, and the opening months routinely look worse than the closing ones.

Also known as: fiscal balance

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