CBO Predicts $7.1 Trillion Deficit Over Ten Years

08.25.09 | FL News Team

(Washington, DC) -- A new government report has a lower estimate of the U.S. budget deficit.  The non-partisan Congressional Budget Office Tuesday reduced its estimate of the ten-year deficit to over $7.1 trillion.

The Obama administration had predicted a deficit of $9 trillion.

Despite the lower projection, the Congressional budget watchdog says the federal government will spend a record $1.59 trillion more than it takes in during the current fiscal year, which ends September 30th.

The CBO also predicts the government will post a $1.38 trillion deficit during fiscal 2010.  That figure is about the same as the estimate put out by the White House.