The correct answer is: a) Fiscal deficit.
A fiscal deficit is the amount by which a government’s spending exceeds its revenue in a given year. It is often used as a measure of a country’s financial health, as it indicates whether the government is borrowing more money than it is taking in. A large fiscal deficit can be a sign of economic problems, as it can lead to inflation and debt. However, a small fiscal deficit can be healthy, as it can indicate that the government is investing in the economy.
The other options are not as good measures of a state’s financial health. GDP growth rate is a measure of the rate at which a country’s economy is growing. It is not a good measure of financial health, as it does not take into account the government’s spending or revenue. Literacy rate is a measure of the percentage of people in a country who can read and write. It is not a good measure of financial health, as it does not take into account the government’s finances. Population density is a measure of the number of people living in a given area. It is not a good measure of financial health, as it does not take into account the government’s finances.