The initial stage of the fiscal year for the US budget was marked by a significant increase in the deficit. This growth is mainly due to increased spending on health and defense. Data from the Ministry of Finance, released on Wednesday, showed a deficit of $121 billion for October. Compared to the same period last year, this increase was 89%, although after excluding distortions related to the inflow of deferred tax revenues in 2023, the increase was only 22%. These figures are of serious concern to those who seek to control the growing U.S. debt. In connection with these indicators, Donald Trump appealed to Elon Musk and Vivek Ramaswamy to consider the possibilities of reducing government spending. The analysis shows that the main expenditures are concentrated in areas that are likely to be the subject of intense political debate. The increase in the deficit is due, in particular, to the increase in expenditures of the Department of Health and Human Services and the Ministry of Defense, which increased by 12% and 13%, respectively, taking into account calendar differences. Healthcare spending increased by $62 billion compared to the same month last year.
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