U.S. Approaching Record-Setting Budget Deficitsby Tim Manni
Surprised? As the nation’s leaders have sought to battle financial meltdowns, a housing crisis, and the recession, it really shouldn’t come as a shock that for 10 straight months the U.S. has spent more money than it has brought it. Last month the country landed $108.86 billion in the red, up about $6 billion from a year ago:
For the first 10 months of fiscal 2009, the deficit widened to $1.267 trillion, more than triple the $388.62 billion for the same period in fiscal 2008. The White House has predicted the deficit would total $1.841 trillion this fiscal year ending Sept. 30, which would be a record. The biggest deficit for any fiscal year on record is $454.8 billion, rung up in fiscal 2008.
Has the nation’s budget ballooned because of necessary spending or poor leadership in Washington?
The country is only one monthly deficit away from tying the monthly record. The nation has hit 11 straight monthly deficits three times in our history, the most recent occurring in 1991. However, in February the budget reached $193.86 billion, the widest gap on record:
Last month’s federal-government spending totaled $332.18 billion, compared with $263.26 billion in July 2008. Federal-government spending for the year to date totaled $3.01 trillion, compared with $2.48 trillion for the same period in fiscal 2008.
Critics of President Obama have used the growing deficit to protest his proposed health care plan that could wind up costing the nation trillions.