The Fiscal Responsibility Act, which was introduced in December 2012, was a part of a bigger plan that involved reformation of the budget. The definition of fiscal responsibility varies as per the situation. It is used mainly in politics, and in certain scenarios, in the subject of pure finance as well. In the simplest terms, it means using your money wisely, without overspending or otherwise. With reference to the broader spectrum, this spending could involve the firm/country’s economy and its effects on people. (Wikipedia)
- Fiscal conservatism (also economic conservatism or conservative economics) is a political-economic philosophy regarding fiscal policy and fiscal responsibility advocating low taxes, reduced government spending and minimal government debt.
- Fiscal liberalism is of the view that the national debt and deficit should be reduced, and this, they believe, can be achieved by exercising extra taxes on the wealthy. They are of the view that the high class should pay more in taxes than the middle class, so as to increase fiscal responsibility.