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Comment by hijodelsol | Hacker News Reader

The deficit is not in fact 2 trillion. Source: https://www.bea.gov/system/files/trad0225.png (and many other official documents)

Also, this is a false dichotomy.

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In CBO’s projections, the federal budget deficit in fiscal year 2025 is $1.9 trillion. Adjusted to exclude the effects of shifts in the timing of certain payments, the deficit grows to $2.7 trillion by 2035. It amounts to 6.2 percent of gross domestic product (GDP) in 2025 and drops to 5.2 percent by 2027 as revenues increase faster than outlays

https://www.cbo.gov/publication/60870

IMO, 5%+ percent of gross domestic product (GDP) in a country with massive trade deficits is not sustainable.

Nominal GDP growth was 5% in December. As long as share of GDP is constant things are sustainable.

Debt as a % of GDP is not constant, and is on track to grow "far beyond any previously recorded level", according to the Budget Office. [1]

[1]https://www.cbo.gov/publication/61187

"The budget projections are based on CBO’s economic forecast, which reflects developments in the economy as of December 4, 2024. They also incorporate legislation enacted through January 6, 2025."

Out of date!

I think they meant budget deficit, whereas you refer to trade deficit.

That graph shows a 130B monthly deficit. So maybe not 2B but still 1.5B on a yearly basis.

I believe the OP was talking about the fiscal deficit, your chart shows the trade deficit.

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