Economics

Explanation	Term
Deliberate changes in budget revenue and expenditue to affect the level of economic activity.	discretionary changes
An instrument of fiscal policy that smoothes out fluctuations in the level of economic activity.	automatic stabilisers
The estimated revenue and expenditure of the government for the next year and future years.	budget
Net operating balance minus net capital investment.	fiscal balance
The intended overall impact of the budget on the level of economic activity.	fiscal stance
Headline cash balance less net advances.	underlying cash balance
A situation where taxpayers move into higher tax brackets due to wage rises and inflation.	fiscal drag
A method of collecting personal income tax.	PAYG
Fiscal policy stance that reduces the size of the deficit or increases the size of the surplus.	contractionary fiscal policy
A revision of budget estimates that occurs in December or January each year.	MYEFO