United States Federal Deficit Graph

As you can see in the graph the U.S. federal deficit has not been this small since 2008. This might seem surprising since 2008 was the year with all the major bank failures. Yet it is quite likely that the (long lasting) recession of 2009 created a lot more costs for the government than those bank failures. The current recovery is seen in the outlays as well as in the revenues.

NY Times

Projected 2013 Government Deficit

With OECD data this chart graphs the projected government balance for 2013, for most developed and emerging countries. Japan has the biggest projected deficit, of over 10 percent. Slovenia, Ireland and the U.K are also running big deficits. Contrary to the number of countries with a deficit, there are only a few that are expected to have a budget surplus. Examples are Norway and Switzerland.

Sober Look

Fiscal Cliff: $607 Billion Automatic Budget Deficit Reduction

Reuters shows in this graph the reduction in the budget deficit that will take place automatically when Democrats and Republicans in Washington don't reach an agreement before the end of the year about how to avoid the fiscal cliff. The biggest part of the reduction comes from the Bush-era tax cuts that expire: 221 billion dollar. Payroll tax relief expiring (95 billion) is also a big tax increase. One of the budget cuts is that Emergency Unemployment benefits will expire.

Will Washington let this happen?

Reuters

Dutch Economy in 8 Graphs

With the Dutch elections today this chart may come in handy. The Dutch economy is doing 'better' for most of the indicators than the Euro zone average. Late tonight (local time) the first estimation of the results are expected. A close result between the right party (VVD) and the left party (PVDA) is very likely. A colation needs to be formed to make the new government.

Reuters

OECD Government Budget History: Deficit versus surplus

The Economist posted this interesting chart with the budget historty from several countries. On the top a smaller group of countries over a longer time and on the bottom a bigger group of countries over a smaller time. Unfortunately there was no data available for both more countries and over a longer period. What both graphs show though is that most countries had a lot more years with a budget deficit than years with a budget surplus. Many economists advice governments to buildup debt-ratio in a recession and lower the debt-ratio in a boom. Because there were more deficit years that surplus years, this wasn't the case. Overall, in the long run government debt ratio's on average increased.

Due to a request by the Economist this graph has been removed. 

View graph here

Government Debt And Deficit Euro Zone Members 2012 (Expected)

This graph from the Rabobank shows the fiscal positions of the Euro Zone members (orange) compared to the UK, US and Japan (blue). National debt is on the horizontal axis and deficit on the vertical axis. Numbers are expections from European Comission and IMF.

Notice that the U.S. and Japan have way worse fiscal positions than the Euro Area. Well known is that Greece and Italy have the biggest government debt compared to the GDP in the two economies. Ireland and Portugal are getting closer and closer to Italy though.

Economies of Italy and Spain Compared (March 2012)

Before the crises started in 2008 the economy in Spain grew remarkably faster than in Italy. Since the crisis started Spain is still doing relatively better (or rather less bad) again, as you can see in the first graph on the left. While that happened Spain's unemployment, while being almost the same as for Italy in 2007, was more than double the rate of Italy in 2011. Spain again is doing better for the government debt, although it increased a lot more since the crises than in Italy, so the two graphs on the bottom show.

Spain and Italy's bond yields were closely tied in the last five years. In late 2011 Italy's bond yields sparked above that of Spain, but since a few weeks Italy's yields have come down to around Spain's yield again.

Overview of the Deficit And Debt History for Euro Zone (2000-2010)

The next two chart give a great overview of the government finances in the first decade of this century in the Euro Zone. It also shows which countries broke the rules of the Stability and Growth Pact. Which says countries can't have deficits higher than three percent and debt higher than sixty percent, both as a percentage of GDP.


Before the crisis Ireland, Spain, Estonia, Luxembourgh and Finland were the only countries that never broke the rules. Especially notice France and Germany, which both had a debt higher than 60% every year since 2003. France had a deficit higher than 3% for 2002-2004 and Germany for 2001-2005.


This chart shows the deficits per year for all the Euro Zone countries from 2000-2010.

This chart shows how the government debt changed per year for all the Euro Zone countries from 2000-2010.

Macrobusiness

Projected U.S. State Budget Gaps for 2012

The Financial Times posted this picture of the projection budget gaps for all the states in the United States. It is projected that only 12 states of the 50 states have no gap.

FT

Number Of Times Euro Zone Countries Have Broken The SGP

This graph from the Dutch 2012 budget which has been presented yesterday by the finance minister shows an interesting insight in the number times countries have violated the Stability And Growth Pact. The Stability and Growth Pact says that countries in the Euro Zone can have a budget deficit of at max 3 percent and a maximum government debt of 60 percent. Greece has, as you might have guessed broken the SGP the most times, but Ireland and Spain are, maybe surprisingly, clear winners.

Translation: Saldo (dark green = deficit) and Schuld (light green = debt).

Countries: Belgie = Belgium, Ierland = Ireland, Spanje = Spain, Nederland = Netherlands, Duitsland = Germany, Franrkijk = France, Italie = Italy, Portugal = Griekenland.

Greek Debt/GDP: Only 22% In 1980

This graph shows the government debt to GDP ratio for Greece. As you see the debt was mostly accumulated in the eighties. I will sum up some of the events which are of most importance this this graph:

• In the 1980's spending as a percentage of GDP rose by 19 points from 24% in 1980 to 43% in 1988, while revenue rose by only 7 points form 20% to 27%.
• In the beginning of the 90's Greece was in recession twice (1990 and 1993). The deficit and the borrowing cost both spiked to over 10%. 
• Starting in 1993 the government started a policy of fiscal consolidation to get permission to join the Euro-Zone. The deficit shrank to 3% of GDP and the borrowing costs fell to just 6% in 2000.
• When Greece was allowed to enter the Euro-Zone the 'fiscal discipline' faded away and budget deficits began to rise again. This was not followed by higher borrowing yields though, which may had something to do with the distorting of the numbers by the Greek government.

Greek Default Watch

Debt Ceiling: Revenue Versus Expenditures (% GDP)

This great chart from Business Insider compares the revenue versus the expenditures for the United States as a percentage of GDP throughout the years. You can see that clearly there is a revenue problem.

Business Insider

Italy's Deficit Compared to the other PIGS and Belgium

Italy has the lowest deficit forecast of the six countries for 2011.

Thompson Reuters

Who Is Funding The U.S. Deficit?

In Q1 of 2011 the Federal Reserve was by fas the biggest buyer of US debt. What will happen when the Federal Reserve stops buying treasuries in July?

Source: Ritholtz

Netherlands: Deficit Versus Debt

This graph from the European Commission compared the Budget Deficit and the Gross Government Debt for the Netherlands.

European Commission

Change in Gross Government Debt in 2010

The next graph of the research institute of the Netherlands CPB gives the change in the Gross Government Debt in 2010 compared to 2009 for European countries. 

Source: CPB

Where Oostenrijk = Austria; Belgie = Belgium; Griekenland = Greece, Duitsland = Germany; Verenigd Koningkrijk = United Kingdom; Frankrijk = France, Italie = Italy; Spanje = Spain, Nederland = The Netherlands; Zweden = Sweden; Slovenie = Slovenia; Eurogebied = Eurozone; Slowakijke = Slowakia; Denemarken = Denmark; Ierland = Ireland.

Change in EMU-balance in 2010

The next graph of the research institute of the Netherlands CPB gives the change in the EMU-balance in 2010 compared to 2009 for European countries. 

Source: CPB

Where Oostenrijk = Austria; Belgie = Belgium; Griekenland = Greece, Duitsland = Germany; Verenigd Koningkrijk = United Kingdom; Frankrijk = France, Italie = Italy; Spanje = Spain, Nederland = The Netherlands; Zweden = Sweden; Slovenie = Slovenia; Eurogebied = Eurozone; Slowakijke = Slowakia; Denemarken = Denmark; Ierland = Ireland.

Interest Rate Payments United States

Unlike for Greece interest payments for the United States are not a problem yet, as you can see in the next picture. The years of the graph isn't totally clear to me, but it's probably recent data.

Source (dutch): Z24

Europe 2010 Budget Deficits

Today Eurostat announced the 2010 Greek Budget Deficit will be a lot higher than expected. The next graph shows the deficits as a percentage of gdp of the main Europe-countries with most recent data from Eurostat.

Source: Eurostat

DUTCH: American (and other countries) Debt Problems

This picture gives the budget deficit for 2011 in selected countries, with the U.S. on top.

Source: Z24

Budget deficit in 2016 for these countries:

Source: Z24

This picture gives a great overview of the situation of the public finances for selected countires

These are the fiscal consolidations needed to before 2030 as computed by the IMF