Ask The Expert: Is A Shrinking Deficit Good For Stocks And Bonds?
Question: How does theimpact and ?
-- Tim, Gainesville, Fla.
TheAnswer: Great question, Tim. Deficits are a major hot-button topic these days. However, there's actually some good news to report... It’s the feel good story of 2013 that nobody is talking about.
Our nation’s budget fiscal year ended September 30) likely be around 40% lower than a ago., which had been spiraling out of control, is finally coming down to manageable levels. Thanks to a combination of higher government and lower government spending, this ’s shortfall (for the
In fact, the Congressional Budget Office (CBO) predicts the budget deficit fall below $400 billion by fiscal 2015.
Good news indeed.
Or is it?
Before we answer those questions, let’s take a closer look at the road ahead for our government’s finances…
Source: Congressional Budget Office (CBO)
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