Only way to keep this economy moving along is to keep spending, right? Fools think they can spending, wow do they really have this all wrong. January deficit grows by $50B, on pace for $1.5T January deficit rises by $50B; tax-cut package puts annual deficit on pace for $1.5T ap Martin Crutsinger, AP Economics Writer, On Thursday February 10, 2011, 2:03 pm WASHINGTON (AP) -- The federal government's budget deficit grew by $50 billion in January and is expected to finish the year as the highest in history. The Treasury Department says the deficit was one of the highest ever for the month of January, second only to the $63 billion deficit recorded two years ago. For the first four months of this budget year, the deficit totaled $418.8 billion, 2.7 percent lower than the same period a year ago. However, this improving trend is expected to reverse in coming months. The Congressional Budget Office is projecting a record deficit of $1.5 trillion this budget year, which ends in September. The estimate was revised upward last month based on a tax-cut package brokered between the White House and Republicans that will add $400 billion to this year's red ink.