Economic Downturn and Legacy of Bush Policies Continue to Drive Large Deficits

Federal deficits and debt have been sharply higher under President Obama, but the evidence continues to show that the Great Recession, President Bushs tax cuts, and the wars in Afghanistan and Iraq explain most of the deficits that have occurred on Obamas watch — based on the latest Congressional Budget Office projections as well as legislation enacted since we last issued this analysis of what lies behind current deficits and debt.