1、1 The economic effects of the budget deficit are discussed in CRS Report RL31235, TheEconomic Effects of the Federal Budget Deficit, by Brian Cashell.Congressional Research Service? ?The Library of CongressCRS Report for CongressReceived through the CRS WebOrder Code RS21786Updated March 2, 2005The
2、Federal Budget Deficit: A Discussion of Recent TrendsGregg Esenwein, Marc Labonte, and Philip WintersGovernment and Finance DivisionSummaryThe federal budget deficit in FY2004 was 3.6% of gross domestic product (GDP).When the influence of economic conditions and temporary factors is excluded from th
3、emeasurement of budget balances, the FY2004 deficit was 2.6% of GDP. By eithermeasure, the deficit is above the historical average for the last 50 years.The FY2004 deficit represents a dramatic turnaround from the FY2000 surplus of2.4% of GDP. Most of this turnaround can be traced to a fall in recei
4、pts, from a 50-yearhigh of 20.9% of GDP in FY2000 to a 45-year low of 16.3% of GDP in FY2004.In percentage terms, tax cuts accounted for approximately 45% of the decline in thefederal budget balance between FY2000 and FY2004. The downturn in the economyand temporary factors were responsible for abou
