Today the administration released its budget. It calls for a $3.83 trillion budget in FY 2011 and a $1.6 trillion deficit in the current fiscal year, which would be a post-WWII record. Under the proposed budget the deficit would fall to $1.3 trillion next year, and to about $830 billion the year after that. But then the deficit would inch back upward, and is not projected to fall below 3.6 percent of GDP in the foreseeable future.
The record deficit this year incorporates the cost of the administration’s planned $100 billion jobs bill.
Rep. Paul Ryan, the ranking Republican on the Committee on the Budget, has a good review of the giant budget, including this graph, which shows clearly what is happening with the deficit.