When a government spends more than its income the deficit is called a fiscal deficit. In other words, the fiscal deficit is the total borrowings made by a government. Measure taken to avoid fiscal deficit are:Reduction in revenue expenditureCut down unnecessary subsidies Reduction in wastage of resourcesImprove the sources of income collectionIncrease tax base and tax collectionThus, focusing on improving revenue sources and optimizing the source of expenditure.