Surplus or surplus consists of the positive result from the difference between what is earned (revenue) and what is spent (expense).
This term is used in economics to refer to the average amount that is left over from an income (money collected) after deducting expenses.
When it comes to the country's public accounts, the so-called primary surplus it is considered the amount left over from government revenue after payment of expenses, except for interest on the public debt.
already called nominal surplus it is a more complete average, as it includes the amount of interest on the debt in the accounts. For example, it means when the Government manages to raise enough money to generate a primary surplus and, with the balance positive, still manages to pay interest on the debt for a certain period, causing there to still be a "leftover" of capital.
Etymologically, the word surplus originated from the Latin surplus, which can be literally translated as "surplus" or "left over".
See also:meaning of trade balance.
Deficit and Surplus
Both are terms used in the economic sphere to refer to the movements made in a country's trade balance.
The surplus, as said, corresponds to the capital that exceeds after the payment of State expenses. It also represents a greater volume of exports than imports, that is, the country is selling its products more (raising capital) than buying.
The deficit is the opposite of the surplus. A trade balance deficit, for example, occurs when there is a volume of imports (purchase) of products greater than exports (sales). In this case, the country is increasing its debt with other countries.
Learn more about meaning of deficit.
