CBO: Budget Deficit Drops Below $1 Trillion

With the automatic spending cuts of sequestration still listed in current law, the latest report on the Federal deficit shows a decline in the Federal budget deficit.

FOX News Radio’s Jared Halpern has details from Washington:

For the first time in President Obama’s tenure, the annual deficit will fall below $1 trillion.  The Congressional Budget Office projects this year’s budget shortfall will run $845 billion.

(Elmendorf) “Our projections, based on current laws, show deficits continuing to fall over the next few years.”

CBO Director Douglas Elmendorf, citing an expanding economy and changes in tax law for increased revenue.  But as more and more Baby Boomers retire, Medicare and Social Security spending will increase, sending deficits higher towards the end of the decade.

In Washington, Jared Halpern, FOX News Radio.