Total Revenues From All Levels Of Government Drop To Lowest Share Of Economy Since 1968
Publication Date: January 2004
Special Collection: John D. and Catherine T. MacArthur Foundation
Keywords: Economic projections; Fiscal future; Federal budget; State budgets
In recent years, the overall fiscal position of the government — reflecting federal, state, and local governments combined — has shifted from one of surpluses to one of substantial deficits. Just-released government data show the principal reason for this shift is that revenue collections have shrunk markedly. Combined federal, state, and local revenues fell in fiscal year 2003 to their lowest level, measured as a share of the economy, since 1968.
Each year, the Office of Management and Budget issues data on total government receipts and expenditures (based on combined federal, state, and local data), including data on receipts and expenditures as a share of the economy, the standard measure for tracking changes in receipts and expenditures over time. OMB last issued these data in February 2003. Recently, the Department of Commerce issued new data taking these data through the end of the federal fiscal year 2003, which ended September 30.