• News
  • SAN DIEGO
  • Government

White House: 2014 deficit to drop $100B

WASHINGTON (AP) -- The White House said Friday that the federal government's budget deficit will drop to $583 billion this year, the lowest level of President Barack Obama's tenure.

Last year's deficit was $680 billion. The latest update from the White House budget office is also $66 billion less than the administration predicted earlier this year when releasing the president's budget.

Obama presided over trillion-dollar-plus deficits during his first term as the economy struggled to recover from a bad recession and financial crisis. Attempts to strike deals with GOP leaders such as House Speaker John Boehner of Ohio have failed, though Obama was successful in muscling through a tax hike on wealthier earners in early 2013. Tight spending on annual agency budgets is also responsible for lower deficits.

The nonpartisan Congressional Budget Office projects an even lower deficit of $492 billion for the budget year ending Sept. 30.

The White House has also lowered its economic growth forecast for the current year to 2.6 percent, reflecting the unexpected 2.9 percent drop in gross domestic product in the first quarter of this year. Its earlier prediction was for a 3.3 percent hike in GDP.

Obama's March budget release called for a variety of tax increases and promised new help for the working poor and additional money for road-building, education and research. It also pulls back from controversial cuts to Social Security cost-of-living increases that had angered Democrats.

The unexpected White House release came as the Treasury Department announced separately that the government ran a surplus of $71 billion for the month of June.

Leave Your Comment

Comments are moderated by SDDT, in accordance with the SDDT Comment Policy, and may not appear on this commentary until they have been reviewed and deemed appropriate for posting. Also, due to the volume of comments we receive, not all comments will be posted.

SDDT Comment Policy: SDDT encourages you to add a comment to this discussion. You may not post any unlawful, threatening, defamatory, obscene, pornographic or other material that would violate the law. All comments should be relevant to the topic and remain respectful of other authors and commenters. You are solely responsible for your own comments, the consequences of posting those comments, and the consequences of any reliance by you on the comments of others. By submitting your comment, you hereby give SDDT the right, but not the obligation, to post, air, edit, exhibit, telecast, cablecast, webcast, re-use, publish, reproduce, use, license, print, distribute or otherwise use your comment(s) and accompanying personal identifying and other information you provide via all forms of media now known or hereafter devised, worldwide, in perpetuity. SDDT Privacy Statement.

User Response
0 UserComments

Leave Your Comment

Comments are moderated by SDDT, in accordance with the SDDT Comment Policy, and may not appear on this commentary until they have been reviewed and deemed appropriate for posting. Also, due to the volume of comments we receive, not all comments will be posted.

SDDT Comment Policy: SDDT encourages you to add a comment to this discussion. You may not post any unlawful, threatening, defamatory, obscene, pornographic or other material that would violate the law. All comments should be relevant to the topic and remain respectful of other authors and commenters. You are solely responsible for your own comments, the consequences of posting those comments, and the consequences of any reliance by you on the comments of others. By submitting your comment, you hereby give SDDT the right, but not the obligation, to post, air, edit, exhibit, telecast, cablecast, webcast, re-use, publish, reproduce, use, license, print, distribute or otherwise use your comment(s) and accompanying personal identifying and other information you provide via all forms of media now known or hereafter devised, worldwide, in perpetuity. SDDT Privacy Statement.

Subscribe Today!