US budget deficit hits record $438 billion
The US government budget deficit is ballooning under the latest estimates from the Congressional Budget Office.
By Agencies |
WASHINGTON: The US government budget deficit is ballooning under the latest estimates from the Congressional Budget Office.
The deficit hit a record $438 billion for the budget year that ended last week, up from the $162 billion worth of red ink posted last year.
CBO said Tuesday that with the economy in a slump, revenues dropped by almost 2 per cent. Corporate income receipts dropped by $65 billion, or nearly 18 percent. At the same time, individual income tax revenues went down by 1.6 percent.
The deficit is virtually certain to balloon even higher next year as the government sorts out the financial crisis and taps a $700 billion Treasury fund to buy toxic mortgage-related securities.
The deficit hit a record $438 billion for the budget year that ended last week, up from the $162 billion worth of red ink posted last year.
CBO said Tuesday that with the economy in a slump, revenues dropped by almost 2 per cent. Corporate income receipts dropped by $65 billion, or nearly 18 percent. At the same time, individual income tax revenues went down by 1.6 percent.
The deficit is virtually certain to balloon even higher next year as the government sorts out the financial crisis and taps a $700 billion Treasury fund to buy toxic mortgage-related securities.
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