Snappy newsletters. Simple Facebook sharing. Spirited comments. Sweet features are waiting… GET THEM NOW!

Record $1.4T Deficit Imperils Recovery

Gap dwarfs FY2008 figure, spells trouble for new stimulus plans

By M. Morris,  Newser Staff

Posted Oct 16, 2009 6:35 PM CDT
Email

(Newser) – The federal deficit in the fiscal year that ended Sept. 30 was $1.4 trillion, lower than projected but still a record. At 10% of GDP, the figure is the largest since 1945, when the deficit was 21.5% of GDP. The figure made public today coincides with early rumblings about extending some features of last winter's $787 billion stimulus package, the New York Times reports.

"It was critical that we acted to bring the economy back from the brink earlier this year," said White House OMB director Peter Orszag. "The president recognizes that we need to put the nation back on a fiscally sustainable path."

Graphic shows federal debt held by public as percentage of GDP.
Graphic shows federal debt held by public as percentage of GDP.
Peter Orszag, Director of the White House Office of Management and Budget, speaks to the Council on Foreign Relations, in New York, Wednesday, July 22, 2009.
Peter Orszag, Director of the White House Office of Management and Budget, speaks to the Council on Foreign Relations, in New York, Wednesday, July 22, 2009.   (AP Photo/Richard Drew)
The federal deficit is a record $1.4 trillion, which is a whole lot of pennies.
The federal deficit is a record $1.4 trillion, which is a whole lot of pennies.   (©? Kris ?)
« Prev« Prev | Next »Next » Slideshow
To report an error on this story, notify our editors.
A snapshot of the day's best news stories.
 
COMMENTS
Showing 3 of 27 comments
Doctor-Zaius
Oct 20, 2009 2:43 AM CDT
Silence yourself. Did Clinton support it, yes. Should he have? No. But listen carefully, HE DID NOT WRITE THE BILL> REPUBLICANS WROTE THE BILL, REPUBLICANS SUPPORTED THE BILL, ONLY A FEW DEMOCRATS VOTED FOR THE BILL, HAD CLINTON NOT SIGNED THE BILL IT WOULD HAVE BECOME LAW ANYWAY AS 60 SENATORS VOTED FOR THE BILL MOST OF WHOM WERE REPUBLICANS. I bet you still don't get it. I love how Republicans convince a few Democrats to go along with Republican ideas and then when the shit hits the fan it's the few Democrats fault for the stupid ideas of Republicans.
SilenceDogood
Oct 18, 2009 8:43 AM CDT
Zaius, was it not your Democratic President Clinton that signed this bill, and if so why do you want to pin it on the Republicans?
godawgs
Oct 17, 2009 12:50 PM CDT
well then doc if history tells us that spending gets us recovered faster, why is the administration taking so long to get the stimulus money out to the public? It just seems odd to me that the majority of the release of the money seems to coincide with election years (2010 and 2012) the left wouldn't be holding money back so that they look like hero's in election years would they?
Politics • Money • US

 
GDP • budget deficit • economic stimulus package • US gross domestic product • Office of Management and Budget • Obama administration • President Obama • Peter Orszag • White House budget director

More Newser Stories

Boehner to House: Pass Deal by Wednesday

Larry Summers Will Leave White House After Midterms

Obama Weighs New Wave of Tax Cuts, Stimulus

G20 Leaders Head Home, Vowing to Cut Deficits

Budget Director Orszag Stepping Down
NEWS FROM OUR PARTNERS
Other Sites We Like:   24/7 Wall St.   |   Betty Confidential   |   BuzzFeed   |   Cracked   |   Fark   |   Timelines   |   The Frisky   |   Geek Sugar   |   NewsOne