Just as I mentioned here a little over a week ago, the deficit is declining.

Despite the ongoing costs of US military campaigns in Iraq and Afghanistan, the outlook for the federal budget has grown substantially brighter.

Tax revenues are rising much faster than spending, according to Treasury Department numbers released last week. The recent trend is strong enough that, were it to continue, the budget could move into surplus in barely a year, one economist calculates.

Already, the federal deficit is shrinking toward about half the size that it has averaged since 1970, when analyzed as a percentage of gross domestic product.

I’m sure that if it had increased it would be headline news.

• That voodoo that you do so well
• Bury this story: Deficit is decreasing
• The era of big government is not over
• Deficit down 57%
• Who owns the deficit now?

This entry was posted by Brian on Thursday, February 22nd, 2007 at 6:01 pm and is filed under Economy. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site. Please note the copyright policy.