ROLES OF BUDGET IN MODERN ECONOMY

I. Budgeting is used as a means of raising revenue.

II. Budget can be used as a tool for economic planning.

III. Budgeting serves as a means of protecting the economy.

IV. The government uses the budget as a tool for controlling inflation by spending lesser money that received by way of tax and other sources.

V. Budget can also be used as a way of the remedy of deflationary situation through the implementation of Budget Deficit.