Federal Deficit Lower Than White House Projection
Unnamed administration officials quoted by David Cho of The Washington Post say the federal deficit is lower than the White House’s initial projections. The
Jul 31, 202013.8K Shares866.4K Views
Unnamed administration officials quotedby David Cho of The Washington Post say the federal deficit is lower than the White House’s initial projections. The budget gap for the first six months of the year is eight percent lower than estimated; were the trend to continue, the annual deficit would be $300 billion lower than initial estimates. The officials cited higher tax revenue and lower spending on the financial-system bailout as the reason for the improved numbers.
But other White House officials — namely Kenneth Baer, spokesperson for the Office of Management and Budget — expresseddismay at the tentative data, calling it “premature and irresponsible.” The annual deficit figure is not due to come out until late summer. The new estimate sets a higher bar for the White House to clear, and is based on higher tax-withholding by employers in March and April (a positive sign, but a preliminary one) and lower spending on helping the financial sector (premature, particularly given the possibility of housing market troubles later in the year).
Still, using Office of Management and Budget data, I created a graph to show just how much lower the annualized projection might be, and presumed similar savings in the coming years. The blue line is official White House data, either confirmed or projected; the red shows the estimated savings.
Camilo Wood
Reviewer
Camilo Wood has over two decades of experience as a writer and journalist, specializing in finance and economics. With a degree in Economics and a background in financial research and analysis, Camilo brings a wealth of knowledge and expertise to his writing.
Throughout his career, Camilo has contributed to numerous publications, covering a wide range of topics such as global economic trends, investment strategies, and market analysis. His articles are recognized for their insightful analysis and clear explanations, making complex financial concepts accessible to readers.
Camilo's experience includes working in roles related to financial reporting, analysis, and commentary, allowing him to provide readers with accurate and trustworthy information. His dedication to journalistic integrity and commitment to delivering high-quality content make him a trusted voice in the fields of finance and journalism.
Latest Articles
Popular Articles