Option 1 -> Revenue Deficit is the difference between revenue expenditure and revenue receipts.
Option 2 -> Fiscal Deficit represents total expenditure minus total receipts excluding borrowings.
Option 3 -> Monetary Deficit is not a standard term in government budget accounting.
Option 4 -> Primary Deficit is fiscal deficit minus interest payments on previous borrowings.
Hence, Revenue Deficit -> Revenue Deficit is specifically defined as the excess of Government's Revenue Expenditure over Revenue Receipts. It indicates that the government's current receipts (like tax revenues, interest receipts, dividends) are insufficient to meet its current expenditure (like salaries, pensions, subsidies, interest payments). This means the government is borrowing to finance its day-to-day consumption expenses rather than asset creation, which is a matter of concern for fiscal health. -> correct