Fact Check: "The U.S. fiscal deficit can increase due to government spending."
What We Know
The claim that the U.S. fiscal deficit can increase due to government spending is supported by several sources. A deficit occurs when the federal government's expenditures exceed its revenues. For instance, the Congressional Budget Office (CBO) reported that the federal budget deficit totaled $1.1 trillion in the first five months of fiscal year 2025, which is $319 billion more than the deficit recorded during the same period in the previous fiscal year. This increase in the deficit was attributed to a 13% rise in outlays, which outpaced a mere 2% increase in revenues (CBO Monthly Budget Review).
Additionally, the U.S. Treasury's fiscal data indicates that the federal government has spent $1.36 trillion more than it has collected in fiscal year 2025, leading to a national deficit (U.S. Treasury Fiscal Data). This clearly illustrates that increased government spending directly contributes to a larger fiscal deficit.
Analysis
The evidence presented supports the claim that government spending can lead to an increase in the fiscal deficit. The CBO's report highlights a significant rise in outlays, particularly in mandatory spending programs such as Social Security and Medicare, which have been key drivers of the increased deficit (CBO Monthly Budget Review).
Moreover, the U.S. Treasury's data reinforces this by indicating that the deficit is a result of spending exceeding revenues, a fundamental definition of a budget deficit (U.S. Treasury Fiscal Data). The reliability of these sources is high, as they come from established government agencies that provide regular updates on fiscal matters. The CBO is a nonpartisan agency that provides objective analysis, while the U.S. Treasury is the official financial agency of the U.S. government.
However, it is important to note that while government spending can increase the deficit, the relationship is influenced by various factors including economic conditions, tax policies, and legislative decisions. For example, during periods of economic downturn, increased government spending may be necessary to stimulate growth, which can also lead to higher deficits in the short term (GAO Blog).
Conclusion
The verdict is True. The evidence clearly shows that the U.S. fiscal deficit can and does increase due to government spending. The data from the CBO and U.S. Treasury illustrates a direct correlation between rising expenditures and the growth of the deficit, confirming the claim's validity.
