April 12 (Bloomberg) -- The U.S. posted a budget deficit for a record 18th straight month in March, reflecting gains in government spending to bolster the economy. The excess of spending over revenue declined to $65.4 billion last month, compared with a shortfall of $191.6 billion in March 2009, according to Treasury Department figures released today in Washington. The year-over-year narrowing reflected a decline in outlays for the Troubled Asset Relief Program to shore up financial firms. A deficit thatâs forecast to reach a record $1.6 trillion this fiscal year illustrates the challenges facing President Barack Obama and Congress as they struggle to spur the recovery while keeping the budget gap manageable. Deterioration in the governmentâs balance sheet in coming years raises the risk of higher interest rates. âWe canât keep this up,â said David Wyss, chief economist at Standard & Poorâs in New York. âWeâre getting more revenue, but weâre still spending. Thatâs the problem. Youâve got to start paying your way.â http://www.bloomberg.com/apps/news?pid=20601087&sid=a6d30KbsVtf4&pos=3 Yeah, some day it will be PAY DAY.
They will sell more bonds If interest rates rise due to lack of demand to these bonds then they will print money But there will be no inflation and us dollar will not lose money. Because there is no other currency to compete with dollar So trillions and trillions of dollars will be printed and inflation will not pick up and dollar will not lose value. Simple.