Budget Deficit Shrinks

By October 8, 2006General

The federal fiscal year ended on September 30. Not exactly a front page news item for the mainstream media, (it would be had it gone the other way) but the budget deficit for the year was a full $10 billion below what the Congressional Budget Office projected — in August! That’s an extra $10 billion — still a lot of money to us — than they thought might come in when they were guessing a little over a month ago.

Tax receipts are coming in at a brisk pace. Why? We said that tax cuts would lead to more spending, more investment and more growth and we were right. Why not extend these tax cuts permanently? The proof is in the pudding.