The federal budget deficit has decreased to it’s lowest level since 2007 thanks primarily to economic growth. Furthermore, the federal government also posted a larger surplus, beating most estimates.
via Bloomberg
Treasury Secretary Jacob J. Lew said the fiscal improvement is partly tied to stronger growth, as the nation’s unemployment rate dropped to 5.9 percent in September from 7.2 percent a year earlier. Still, the deficit is forecast by the Congressional Budget Office to start widening again as an aging population prompts more spending on Social Security and health care. [...]
Last month the government posted a $105.8 billion surplus, compared with a $75.1 billion surplus September 2013, today’s figures showed. The median estimate in a Bloomberg survey of 23 economists was for a surplus last month of $90 billion, with estimates ranging from $53 billion to $106 billion.
While I’m sure the Congressional Budget Office, I have to say I’m increasingly skeptical of predictions that we will face Deficit Doom in the near future.
The fact that the economy has drastically turned around under a Democratic president is not reflected in polling, as you might have guessed, because Americans are pretty dumb.
You have to be ignorant to place more trust in the Republican party’s handling of the deficit given that they produced the record setting deficits of yesteryear; given that their policies would explode the deficit all over again.