💨 Abstract

The U.S. saw a record $21 billion increase in customs revenues in July due to President Donald Trump's tariffs, but the budget deficit still rose by 20% this fiscal year. Federal spending continues to outpace revenues, potentially leading to fewer job options, higher inflation, and increased interest rates. The deficit results from the gap between government revenue and spending, contributing to the national debt. Increased revenue from tariffs is uncertain, with varying estimates on their impact on the deficit.

Courtesy: WTOP Staff