The New Budget Deficit

The federal government’s budget deficit for FY 2021 was nearly $2.8 trillion, according to a new estimate from the Congressional Budget Office.

Punchbowl News: “While still enormous, that’s actually better than FY 2020’s record budget deficit by $362 billion, CBO noted. That’s because revenue was up significantly from the year before — by more than $620 billion — while spending stayed consistent with estimates. This shows just how far the U.S. economy has recovered from its pandemic lows — and how far it still has to go.”