Which of the following is the best example of a budget deficit?

Government revenues exceed government spending

Personal income equals personal spending

Government revenues fall short of government spending

Personal savings impacts personal income

The best example of a budget deficit is when government revenues fall short of government spending.

Explanation:

The concept of budget deficit or public deficit describes the situation in which the expenditures made by the government exceed non-financial income, in a certain period (normally one year).

Government revenues fall short of government spending.