“Rising government revenue from tax collections and bailout paybacks are shrinking the federal deficit faster than expected, delaying the point when the government will reach the so-called debt ceiling and altering the budget debate, ” reports Damian Paletta of the Wall Street Journal “… [S]teadily if historically slow economic growth and changes in tax laws that raised rates in January have pushed … government revenue up. The Congressional Budget Office now calculates the federal deficit through the first seven months of the fiscal year that began in October is $231 billion less than the deficit was at this time a year ago … Congress and the White House have more time to figure out what to do in the next budget standoff, which is likely to come when the government approaches its legal limit for borrowing more money.”
Falling deficit alters debate: Improving federal finances lessen pressure on Democrats, Republicans to negotiate
