In October and November, the government spent $292 billion more than it took in, the nonpartisan Congressional Budget Office said. That was even worse than the same period last year, when the government was on its way to posting a record $1.4 trillion deficit for the fiscal year that ended Sept. 30.The country is in the best of hands...lets spend some more...the only way health care seizure breaks even i the first 10 years if because they are going to collect taxes for four years BEFORE it goes into effect. Expect to see shortfalls on a regular basis from now on. This will be a major part of the push to pass a value added tax which will cause almost an immediate inflationary spiral as businesses pass on the cost of the tax to consumers...which will cause prices to rise (i.e. inflation). Can you say "Hello Jimmy Carter?"
The federal budget has been battered by the worst economic downturn since the Great Depression of the 1930s, as tax revenues have plunged and spending on safety-net programs like unemployment insurance have skyrocketed. The budget deficit was $176.4 billion in October, according to Treasury Department records, and the CBO estimated the deficit for November will have come in at $115 billion.
The CBO gave its figures in billions of dollars and said numbers may not add up to the totals because of rounding. Receipts totaled $132 billion in November, the CBO estimated, down 9 percent from the same month last year. That was partly due to new legislation that gives increased tax write-offs to corporations. Outlays were down $23 billion from a year earlier, the CBO estimated, as the government spent less on federal programs to stem the financial crisis.
Monday, December 07, 2009
Late on Friday afternoon, the Obama administration released a report from the Congressional Budget Office saying that the budget deficit for October and November was 25% higher than had been forecast. Late on Friday afternoon is the traditional time for bad news to be released (see the coverage of MT Sen Max Baucus' mistress being recommended as US attorney for MT--what coverage, right?). This is how an administration attempts to bury news they don't want covered.