The correct answer is option (B):
1990-91
To determine the year with the highest percentage increase in deficit over its preceding year, we need to calculate the percentage change in deficit for each relevant period and then compare these percentages. The formula for percentage increase is:
((Current Year Deficit - Previous Year Deficit) / Previous Year Deficit) * 100%
Let's assume we have a table or dataset containing the deficit figures for various years. Since the question asks about specific years and their preceding years, we will focus on calculating the percentage increase for the years presented in the options. We need to find the deficit for the year stated and the deficit for the year immediately preceding it.
Let's denote the deficit in year Y as D(Y). The percentage increase in deficit for year Y-X over year Y-X-1 would be:
Percentage Increase = ((D(Y-X) - D(Y-X-1)) / D(Y-X-1)) * 100%
We are given the following options: 1992-93, 1990-91, 1993-94, 1988-89. This means we need to calculate the percentage increase of deficit for:
1. 1992-93 over 1991-92
2. 1990-91 over 1989-90
3. 1993-94 over 1992-93
4. 1988-89 over 1987-88
Let's proceed with the calculations assuming we have the deficit data.
To illustrate the process, let's assume the following hypothetical deficit figures (in some unit, e.g., crores of rupees):
D(1987-88) = 100
D(1988-89) = 120
D(1989-90) = 150
D(1990-91) = 200
D(1991-92) = 220
D(1992-93) = 250
D(1993-94) = 280
Now, let's calculate the percentage increase for each option:
1. Percentage increase for 1988-89 over 1987-88:
((120 - 100) / 100) * 100% = (20 / 100) * 100% = 20%
2. Percentage increase for 1990-91 over 1989-90:
((200 - 150) / 150) * 100% = (50 / 150) * 100% = (1/3) * 100% ≈ 33.33%
3. Percentage increase for 1992-93 over 1991-92:
((250 - 220) / 220) * 100% = (30 / 220) * 100% = (3 / 22) * 100% ≈ 13.64%
4. Percentage increase for 1993-94 over 1992-93:
((280 - 250) / 250) * 100% = (30 / 250) * 100% = (3 / 25) * 100% = 12%
Comparing these percentages: 20%, 33.33%, 13.64%, 12%.
The highest percentage increase is approximately 33.33%, which occurred in the year 1990-91.
Therefore, based on these hypothetical figures, 1990-91 shows the highest percentage increase of deficit over its preceding year.
To confirm the correct answer, one would need access to the actual deficit data for these fiscal years and perform the same calculations. If the provided correct answer is 1990-91, it implies that the actual deficit data, when analyzed using the percentage increase formula, yields the highest value for this period. The process involves careful calculation of the year-on-year percentage change in deficit.