Federal Finances

The federal government ran a deficit of $435 billion in FY15, $48 billion less than in FY14. The deficit in FY15 was 2.4% of GDP, its sixth consecutive yearly decline, and slightly below the average of the past 50 years. Revenues were up 8% and expenditures 5%. If braindead Congress allows sequestration to kick in when the continuing resolution funding government expires on 12/11/15, growth will be cut by 0.5%.