The U.S. budget deficit is up almost 42% compared to the same period last year after December ended with a $13.5 billion deficit, the Associated Press reports.
Following the GOP tax cuts of 2017, tax revenue is up a meager 0.2%. Meanwhile, spending is up 9.6%.
The Congressional Budget Office reportedly projected the 2019 deficit to reach $897 billion, up 15% from the year prior. Last year’s deficit of $779 billion was the country’s highest since 2012.
The tax cuts were meant to spur economic growth, but there’s been little evidence of this working: a January survey found the change had no major impact on hiring or capital investment. This has left growth and deficits to increase hand in hand, and without additional growth, the tax cuts are expected to reduce federal income by $1.5 trillion over the next decade.