Posted 10/20/2023, 9:27:00 PM
U.S. Budget Deficit Surges to $1.7 Trillion, Driven by Falling Revenues and Rising Interest Costs
- U.S. budget deficit jumped 23% to $1.7 trillion in fiscal 2023, largest outside of COVID era
- Revenues fell $457B due to drop in income taxes amid worse performance in stocks/assets as rates rose
- Outlays fell $137B but rose for Social Security, Medicare, and record interest costs on debt
- Interest costs hit record $879B, up 23%, due to Federal Reserve raising rates to curb inflation
- Deficit would have been $321B more if not for Supreme Court ruling student loan forgiveness unconstitutional
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