Federal Government In Red For 39th Straight Month
January 11, 2012 by Special To Personal Liberty
The Federal government ran a deficit in December, the 39th straight month in the red, according to preliminary reports from the Congressional Budget Office.
The Washington Times reported that the streak dates back to the last days of former President George W. Bush and encompasses the entirety of President Barack Obama’s tenure.
According to the newspaper, not only is the government acquiring more debt each month, but the deficit of $84 billion in December was slightly higher than the number for that month in 2010. Payments to housing finance giants Freddie Mac and Fannie Mae accounted for much of the growth in spending.
Corporate income tax receipts were up, the Times reported, while payroll tax receipts were down due to the tax cut Congress and Obama agreed to a year ago.
USA Today reported that the U.S. national debt recently reached a symbolic tipping point, as it is now as big at the entire American economy.
“The 100 percent mark means that your entire debt is as big as everything you’re producing in your country,” Steve Bell of the Bipartisan Policy Center told the newspaper. “Clearly, that can’t continue.”