U.S. Budget Deficit Hit Record $1.4 Trillion in 2009 triple that of 2008′s record

Remember last year when people were complaining about the out of control spending by Washington, and the then record deficit was $459 billion for fiscal year 2008?. That seems like the good ole days now with Obama and the Democrats as the federal budget deficit tripled to a record $1.4 trillion for the 2009 fiscal year that ended last week, according to Fox News.

The Congressional Budget Office estimate, while expected, is bad news for the White House and its allies in Congress as they press ahead with health care overhaul legislation that could cost $900 billion over the next decade.

The unprecedented flood of red ink flows from several factors, including a big drop in tax revenues due to the recession, $245 billion in emergency spending on the Wall Street bailout and the takeover of mortgage giants Fannie Mae and Freddie Mac. Then there is almost $200 billion in costs from President Obama’s economic stimulus bill, as well as increases in programs such as unemployment benefits and food stamps.

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October 7, 2009 · Filed Under General Politics


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