The Congressional Budget Office (CBO) announced on Monday that the federal government's budget deficit will shrink this year to its lowest level since President Barack Obama took office.
The CBO says the deficit will be $468 billion for the budget year that ends in September 2015, slightly less than last year's $483 billion deficit.
As a share of the economy, CBO says this year's deficit will be slightly below the historical average of the past 50 years.
Things look good in the near term. The CBO projects solid economic growth for the next few years, along with a drop in unemployment. Beyond 2018, however, the CBO projects that federal deficits will begin rising again as more baby boomers retire and enroll in Social Security and Medicare.