The correct options for actions the government can take to reduce a persistent fiscal deficit are 1 (reducing revenue expenditure) and 3 (rationalizing subsidies). Reducing revenue expenditure directly decreases government spending, which is crucial when trying to balance the budget. Rationalizing subsidies—by either cutting unnecessary subsidies or redirecting them to more productive areas—ensures that public funds are used more efficiently, further aiding in deficit reduction. In contrast, introducing new welfare schemes (option 2) and reducing import duties (option 4) would likely increase expenditure and diminish revenue, thereby exacerbating the deficit.