The Congressional Budget Office on Tuesday projected a federal budget deficit of $845 billion in 2013, the first time it will have fallen below $1 trillion under President Obama.
The reduction in the budget deficit comes after Congress approved higher tax rates on households with annual income above $450,000. But the long-term forecast from the non-partisan CBO shows the fiscal cliff deal that prevented higher tax rates on most households did little to help the nation’s long-term budgetary outlook.
CBO sees the deficit falling to $430 billion by 2015 before slowly rising again. By 2023, CBO projects the nation will be nearing the $1 trillion mark with a $978 billion budget defici as the aging population and rising health costs explode entitlement spending. ...More: HERE