2008-07-28 22:18:48 GMT 2008-07-29 06:18:48 (Beijing Time) Xinhua English
The US government's budget deficit is expected to balloon to a record 482 billion dollars in the next fiscal year, largely due to an emergency economic stimulus and a slowing economy, a White House report showed Monday. (AFP file photo)
WASHINGTON, July 28 (Xinhua) -- The U.S. federal budget deficit will jump to a record 482 billion dollars in the next fiscal year due to the sagging economy and the economic stimulus, a White House report said Monday.
The projected deficit for the next fiscal year, which begins Oct. 1, 2008, is much higher than the 407 billion dollars predicted by the White House in February.
However, White House spokeswoman Dana Perino said that a widened budget deficit is "the price that we pay in order to help improve the economy."
"We hope to pull out of this economic downturn over the next few months because of the stimulus package," she said, noting she still believes a surplus will be achieved by 2012.
U.S. government budget deficit set a record of 413 billion dollars in 2004. The federal budget was in surplus for four years from 1998 through 2001.