November 2010 Federal Deficit $150.4 Billion: Highest November on Record

….on an unrelated note, corporations are flush with cash and paid the lowest % of taxes to GDP in history in last year we have records (2008), Americans are being sent cash by the bushel, entitlement spending is through the roof, aid to states is historic, and the stock market propels higher. These items are completely unrelated as long as there is no cost in cost-benefit analysis. :) Just like I suddenly have $50,000 if I borrow $50,000 on my credit card. (no cost of course…only the benefit)

Kind of laughable in retrospect when I hand wringed about half a trillion deficits “back in the day” [Jul 28, 2008: US Budget Deficit to Half a Trillion] – that’s 3-4 months of federal government work nowadays.

Via WSJ:

The U.S. government ran its 26th straight monthly budget deficit in November amid wrangling over a package that would extend big tax cuts to Americans trying to recover from recession.

The Treasury Department, in its regular budget monthly statement, said the government spent $150.4 billion than it collected in the second month of fiscal 2011.

Last month’s red ink pushes up the deficit to $290.8 billion for the fiscal year, which began Oct. 1. That figure is a little smaller than the deficit during the same period last year. But President Barack Obama’s administration expects the deficit to top $1 trillion in this fiscal year.

Washington has spent in excess of $1 trillion during each of the last two fiscal years, as revenues were reduced by the deep recession. At the same time, the economic slump and Wall Street bailout raised the government’s expenses.

The Treasury Department says the November budget deficit was 25 percent higher than the $120.3 billion deficit in November 2009. (impressive growth… “better than expected”)

The budget statement Friday said federal spending totaled $585.7 billion so far this fiscal year, with revenues at $294.9 billion. In the last two months, the federal government spent $128.3 billion on defense, $36.8 billion in interest payments on its debt, and $20.0 billion for unemployment benefits.

About Mark Hanna 542 Articles

Affiliation: Hanna Capital, LLC

Mark Hanna is President and Owner of Hanna Capital, LLC, a registered investment advisory firm. Mark has been a follower of markets since the late 80s, with a focus on individual equities since the mid 90s. He has been a well known commentator in the financial blogosphere for the past 5 years, following a career in corpoporate finance and accounting. Mark attended the University of Michigan where he graduated with a degree in Economics.

As an avid reader, Market Montage is the personal blogging site for Mark to share his views on economics, markets, and the like. Occasional cynicism and wit shall be deployed in his postings.

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1 Comment on November 2010 Federal Deficit $150.4 Billion: Highest November on Record

  1. by next summer that will easily top $250 billion mo. that’s right the feds will borrow over 2 trillion next year. spending in dc has gone completely ridiculosly out of control to the point of it being almost laughable.when you’re bummin $2trillion a year u have an economy in freefall,and the ending gonna ugly

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