Zero-Based Budgeting (ZBB) is a process where every ministry must justify its entire budget request from scratch (zero base) every year, rather than simply adjusting the previous year's budget for inflation.

Answer: True

Unlike incremental budgeting, which assumes past expenditures are necessary, ZBB requires a rigorous cost-benefit analysis of all proposed programs, regardless of their historical funding. While theoretically highly efficient for eliminating wasteful, obsolete schemes, it is extremely resource-intensive and time-consuming, which is why it is rarely implemented in its purest form across entire national governments.