Some interesting federal budget deficit statistics include that the Congressional Budget Office estimates that the federal budget deficit for 2015 is $426 billion and that the deficit as a percentage of gross domestic product declined each year between 2009 and 2015. The 2015 budget deficit comprises approximately 2.4 percent of the U.S. gross domestic product.Continue Reading
The CBO projects a 10 percent jump in federal spending in 2015 as compared to 2014. The office expects higher federal interest payments to offset approximately half of this federal spending increase for a net increase of 5 percent in federal spending. Major health care programs account for approximately half of this spending increase, with health-insurance subsidies, Medicare and Medicaid spending all contributing to the increased cost.
The CBO anticipates a 2015 increase in federal revenue from all sources. The Affordable Care Act's mandatory fines and higher anticipated tax receipts account for a significant portion of the revenue increase. In 2015, public debt comprises approximately 74 percent of gross domestic product.
Projections beyond 2015 include increasing deficits to $1 trillion in 2025. This projection assumes that current laws stay the same through the projection year. The CBO says that health care spending comprises a great portion of the expected increase. The CBO also forecasts additional retirement spending in future years. In addition, the organization expects interest rates to outpace rising revenues in amounts that result in higher deficits.
Federal debt as a percentage of gross domestic product sat even higher in the late 1940s than in the early 2010s. The CBO warns that failing to address budget shortfalls might lead to a decreased ability for the U.S. government to respond to unexpected challenges. In addition, the CBO warns that creditors might question federal credit worthiness and the United States' commitment to repay its obligations.Learn more about Economics