Saturday, May 25, 2013

Growing Economy Shrinks Deficit

Since the recession ended four years ago, the federal budget deficit has topped $1 trillion every year. But now the government’s annual deficit is shrinking far faster than anyone in Washington expected.

That is the thrust of a new report released by the nonpartisan Congressional Budget Office, estimating that the deficit for this fiscal year will fall to about $642 billion, or 4 percent of the nation’s annual economic output.