CBO: US budget deficit back to 2009 recession high (BBC)

[eppur_se_muova]

The US budget deficit will hit $1.48tn (£930bn), or 9.8% of economic output, this year, a spending watchdog said.

It is a record deficit in dollar terms, and almost equals the 10% of GDP overspend recorded by Washington in 2009 at the depth of the recession.

The Congressional Budget Office (CBO) revised up an earlier deficit estimate of $1.07tn after President Obama agreed a new stimulus package with Congress.

That package extended Bush-era tax cuts and prolonged unemployment benefits.
***
The Office - which is tasked by the US legislature with providing non-partisan assessment of the evolution of the federal government finances - said deficits were predicted to fall sharply over the medium term.
***
more: http://www.bbc.co.uk/news/business-12291143