Seeing through the budget blues

By Anna Yee

July 15, 2012 Updated Jul 15, 2012 at 10:16 PM CDT

WASHINGTON, DC -- It might be hard to imagine what billions of dollars look like, but that's what those in the nation's capitol are counting, and the latest numbers don't look promising.

The U.S. Treasury Department reports the budget gap widened to $60 billion in June.

That's up from $43 billion this time a year ago.

This shortfall comes even as June revenues reached a five-year high, but government spending spiked more than 9% from last year due, in part, to early July benefit payments.

Reports say the deficit is on track to exceed $1 trillion for the fourth straight year, a reason Republicans use to criticize the Obama administration's spending habits.

"I think over-regulating and overtaxing our companies," said US Rep. Bobby Schilling, (R) 17th District, "if we stop that, we can give peace of mind knowing that here's the cards on the table, now pull all your money out of the bank, and let's start getting America back to work."

US Senator Durbin Dick, (D) IL, says the President's budget plan is helping middle and working class families, while moving the country towards a balanced budget.

"President Obama understands we have a deficit," said Senator Durbin. "We have to reduce spending, increase revenue, and what he said is, 'Let's give a tax break to 98% American families and say to those who are making over $250,000 a year, you're going to have a pay a little extra for the money you make over $250,000.' That's not unreasonable. That's a balanced approach."

Although the Treasury still forecasts reaching the country's almost $16 and a half trillion debt limit, or the amount it's legally allowed to borrow this year, economists are expecting a brighter outlook for July.

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