Obama administration: Budget deficit grows to $587 billion
The government ran a $587 billion budget deficit for the just-completed fiscal year, a 34 percent spike over last year after significant improvement from record deficits of President Barack Obama’s first years in office. The news, while sobering, does not appear enough to jolt a gridlocked Washington into action to stem the flow of red ink. It came in an annual report by the Treasury Department and the White House budget office.
In the presidential campaign, intractable budget deficits and growing debt have been mostly neglected by Hillary Clinton and Donald Trump.
The new figures show: The government is borrowing 15 cents of every dollar it spends; spending went up almost 5 percent to $3.9 trillion in fiscal 2016, but revenues stayed flat at $3.3 trillion.
Obama came to power after the 2008 financial crisis and as the economy was still emerging from a deep recession. The deficit spiked to $1.4 trillion.