Fed Deficit Lowest Since 1974

THE DAILY FED

Fed Deficit Lowest Since 1974

The federal budget deficit has dropped to $22.6 billion, the lowest it's been in 23 years, the Associated Press has reported.

White House officials attributed the drop to strong economic growth and a resulting increase in tax revenue.

The new figure, covering the fiscal year that ended Sept. 30, was lower than Clinton administration officials had predicted. The gap is the lowest since 1974, when it was $6.1 billion.

The deficit hit a record high of $290.4 billion in 1992, but has been declining since.