Federal deficit reaches ‘astounding’ levels

Only nine months into fiscal year 2026, the U.S. government has already borrowed $1.4 trillion, surpassing the entire federal deficit of the previous fiscal year. The federal government collected $4.2 trillion over the past nine months and spent or lost a total of $5.5 trillion, according to a new Congressional Budget Office report. During the month of June alone, the nation added $126 billion to the over $39 trillion national debt. “We will likely borrow $2 trillion or more this fiscal year – an astounding figure given that the economy keeps growing and unemployment is low,” Maya MacGuineas, president of the Committee for a Responsible Federal Budget, stated in response to the report.

Federal deficit reaches ‘astounding’ levels | National | thecentersquare.com

Published by markskidmore

Mark Skidmore is Professor of Economics at Michigan State University where he holds the Morris Chair in State and Local Government Finance and Policy. His research focuses on topics in public finance, regional economics, and the economics of natural disasters. Mark created the Lighthouse Economics website and blog to share economic research and information relevant for navigating tumultuous times.

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