Why Uncle Sam's Rising Deficit Isn't Igniting The Economy

By all accounts, the federal budget deficit is spinning out of control. Although the final figures for fiscal 1991 are not yet in, most estimates put the number at about $275 billion-far above the previous record shortfalls of $220 billion recorded in fiscal 1986 and 1990. The picture looks even more ominous in the year ahead. Just a few short months ago, both the Administration and the Congressional Budget Office raised their projections of the fiscal 1992 deficit by some $68 billion-to $348 billion and $362 billion respectively.

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