The federal government will run a deficit of at least $3.8 trillion this year, likely quadrupling in just one year, a watchdog calculated Monday, as Uncle Sam opens up the checkbook to try to ease the burden of the coronavirus pandemic.
President Trump will oversee a deficit equivalent to 18.7% of gross domestic product, the Committee for a Responsible Federal Budget calculated. That’s double the deficit in 2009, when President Obama was leading the country through the Great Recession.
Total debt, meanwhile, will soar to more than 100% of GDP for the first time since World War II.
And if anything, those projections are on the conservative side and deficits “are likely to be much higher,” CRFB said, because they only account for the laws enacted so far. Congress is already talking about another couple rounds of spending.
CRFB said a surge in spending is “inevitable and necessary,” but warned the country will have to brace for tough decisions later in order to bring things back in line.