Which of the following best defines "Effective Revenue Deficit"?
1
It is the difference between incoming imports and outgoing exports in an annual financial year.
2
It is the difference between fiscal deficit and interest payments made by the government on loans borrowed.
3
It is the difference between revenue deficit and grants-in-aid given for creation of capital assets.
4
It is the difference between the total revenue earned and total expenditure made by the government in an year.