US Budget Deficit Larger than Expected

The US government budget deficit narrowed to USD 14 billion in December 2018 from USD 23 billion in the same month of the previous year, above market expectations of USD 11 billion.

Outlays were down 7 percent from a year earlier and totaled USD 326 billion, with social security accounting for USD 84 billion, Medicare for USD 24 billion, defense for USD 57 billion, income security for USD 37 billion, health for USD 48 billion, net interest for USD 34 billion, veterans' benefits and services for USD 16 billion, transportation and education for USD 17 billion each and other expenses for USD 10 billion.

Meanwhile, receipts fell 4 percent to USD 313 billion, with individual income taxes accounting for USD 151 billion, social insurance and retirement for USD 95 billion, corporate income taxes for USD 47 billion, excise taxes for USD 7 billion, custom duties for USD 6 billion, miscellaneous receipts for USD 6 billion and estate gift taxes for USD 2 billion.

When taking into account calendar effects, spending was slightly higher while receipts were down 6 percent from a year earlier.

 US Budget Deficit Larger than Expected

US Treasury | Joana Ferreira |
2/13/2019 7:31:14 PM