I thought I was done writing for today, but I just stumbled across this post, and it got under my skin. It’s probably behind a paywall for many of you, so I’ll just quickly summarize.
The US Treasury Department has reported that “for the first ten months of the fiscal year, which ends Sept. 30, the deficit was $726 billion, down sharply from $2.5 trillion in the same period last year. That’s a record $1.8 trillion narrowing.” …
The Lens
The Shrinking Deficit and Our Shrinking Economy
Stephanie Kelton | Professor of Public Policy and Economics at Stony Brook University, formerly Democrats' chief economist on the staff of the U.S. Senate Budget Committee, and an economic adviser to the 2016 presidential campaign of Senator Bernie Sanders
https://stephaniekelton.substack.com/p/the-shrinking-deficit-and-our-shrinking
The Shrinking Deficit and Our Shrinking Economy
Stephanie Kelton | Professor of Public Policy and Economics at Stony Brook University, formerly Democrats' chief economist on the staff of the U.S. Senate Budget Committee, and an economic adviser to the 2016 presidential campaign of Senator Bernie Sanders
https://stephaniekelton.substack.com/p/the-shrinking-deficit-and-our-shrinking
“ the massive collapse in the government deficit reduced GDP by 3.8% over the past year.”
ReplyDeleteThe deficit is not a component of GDP…
Defiicit hit a "trough" in April. It's expanding again, near $1T for the year. Yes, that is down from last year, but it's no longer shrinking.
ReplyDelete