The U.S. Budget Deficit Is Going to Hit $1 Trillion Way Earlier Than Expected for Exactly the Reason You Think
A new report from the nonpartisan Congressional Budget Office indicates that the federal deficit has increased to $895 billion 11 months into the 2018 fiscal year (which ends on September 30), a $222 billion increase over the deficit this time last year.
According to Think Progress, that puts us on track to hit $1 trillion by the end of the fiscal year, two years earlier than expected.
Reporter Just Called Out Trump's Real Strategy Behind His Tax Cuts For the Wealthy, and It Sounds All Too Familiar
As predicted by economists and the bipartisan Congressional Budget Office (CBO) prior to their implementation, the Republican backed Trump tax cuts for the wealthiest citizens are on target to balloon the federal deficit to levels never seen before in United States history—both in sheer amount and in comparison to the gross domestic product.
Now some GOP members of Congress and President Donald Trump look to cut social safety-net programs to close the gap.
In 1946, the United States was recovering from World War II. Many products that fueled the American economy, redirected toward the war effort, had yet to recover in a post-war world. And the war had been expensive.
It's understandable then, that 1946 produced a record 106 percent federal debt to gross domestic product (GDP) ratio. That record has stood, as have those of the years immediately after WWII, for over 50 years.
When Donald Trump was running for president, he promised to never again run $400 billion deficits or and that he would cut the national debt after 8 years in office. But his policies do just the opposite, which should come as no surprise from the self-described "king of debt."