Economics · Public Finance and Budgeting
What is the core feature of a 'Zero-Based Budgeting' (ZBB) system?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1Carrying over previous year's allocation without modifications
- 2Maintaining a fiscal deficit strictly at zero percent
- 3Preparing the budget from scratch, requiring justification for every expenditure item✓
- 4Allocating equal funds to all government ministries
Correct answer
Preparing the budget from scratch, requiring justification for every expenditure item
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