The surplus of the state budget

The surplus of the state budget isAn indicator that shows the excess of budget revenues over expenditures. In other words, the achievement of a positive balance in the country based on the results of economic activity of economic entities. A no-deficit budget is the most favorable variant of the state budget. However, the actual balance of this indicator can not be achieved often. And as a result, the state has a budget deficit, which subsequently leads to the appearance of a tax debt.

As is known from theory, the budget structureis represented by a combination of state, regional, municipal and consolidated budgets. And this division must be taken into account when carrying out a detailed analysis of the results of their implementation. Thus, the lack of a budget at the state level does not cover the negative balance of most regional and local budgets.

The surplus of the state budget shouldIt is constantly being investigated from the standpoint of positive and negative premises. So, if this indicator arises as a result of effective and economical consumption of budgetary funds, and at the same time, complete 100% financing is observed, this phenomenon is, of course, positive. In the event that sufficiently high incomes have formed as a result of the favorable economic situation or have resulted from austerity, the shortfall in financing for public spending - this can not be considered a positive development.

Based on the surplus generated,level of the state, a stabilizing fund, whose revenues make up about half of the state budget's revenues. These funds the state can use to attract investment in the country, modernization (renewal) of fixed assets, enhance innovation activity, finance health and social services.

The surplus of the state budget formsnamely those additional savings that the state can use to purchase additional financial and non-financial assets, repayment of debt obligations and payment of capital transfers.

The surplus of the state budget is ina constant confrontation with a deficit. These two indicators are opposite and can not exist simultaneously. Thus, the budget deficit is an indicator of the excess of public spending over revenues. At the same time, incomes and expenses are formed according to a special classification, stipulated in the corresponding law on the state budget.

The main reason for the deficit isdeclines in production, political instability in the country and, of course, war. All these factors show a significant decrease in the revenue side of the budget in the form of a decrease in tax revenues. And at the same time, expenses either remain at the same level, or even increase. Thus, you can see a gradual increase in the deficit.

Sources of coverage of the budget deficit can beto present in the form of additional financing, as well as attracting various types of investments. The first way can be represented by a money issue that can strengthen inflationary processes, characterized by rising prices for services and goods, reducing the living standards of most of the population and exacerbating social tensions in the country. Precisely because of these reasons, the most acceptable option for the state is the use of internal and external loans.

Summing up all that has been said, one can doconclusion that the surplus of the state budget can have both positive and negative points in its formation. The arising these factors should be subjected to a detailed analysis by the state financiers and prevent the emergence of negative sides in the formation of the state budget in the future.