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Kerala's economy is characterized by a high fiscal deficit. This means the state's government:

AIs generating more revenue than it is spending on capital projects.

BHas more expenditure than revenue

CIs saving a substantial portion of its annual income.

DHas a healthy balance between its income and expenses.

Answer:

B. Has more expenditure than revenue

Read Explanation:

  • A fiscal deficit is a shortfall in a government's income compared with its spending, indicating that expenditure exceeds revenue.


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