I'm trying to prove or disprove this statement:   "G.W. Bush shattered
the record for the biggest annual deficit in history."

Dear Ah Oooh, 

The answer is mixed, yes and no. 

The 2004 annual deficit is going to be ,with -$500bn, "the largest in
US history in absolute terms". However, the BBC reports, that as a
percentage of the economy, it is 5% of the GDP, which is "the largest
since 1993", and not absolutely the largest (SOURCE: Steve Schifferes,
"Does the US budget deficit matter?", BBC News,  2 February, 2004,
<http://news.bbc.co.uk/1/hi/business/3430565.stm>).

I think the BBC got it wrong: this kind of deficit was not worse a
percent of the GDP in 1993 (whereas the percentage of the GDP was
3.9%), but in 1983 (whereas the deficit was 6% of the GDP). Between
1983 and 1986, the deficit was between 4.8% and 6% of the GDP. In
other words, as a percentage of the economy, things were worse in
1983, and during the World War II era. (SOURCE: Rand Corporation,
POSTSCRIPT: FROM DEFICIT POLITICS TO THE POLITICS OF SURPLUS,
<http://www.rand.org/publications/MR/MR1387/MR1387.append.pdf>).


More: 
"Bush's $10 Trillion Borrowing Binge", Citizens for Tax Justice,
September 11, 2003 (4 pp.), <http://www.ctj.org/pdf/binge03.pdf>.

"Bush budget could cause explosion in national deficit, Democrats
say", NYT, Sunday, Feb 29, 2004,Page 12, as reprinted by the Tapei
Times, <http://www.taipeitimes.com/News/bizfocus/archives/2004/02/29/2003100621>.

"A Citizen's Guide to the Federal Budget" (2000),
<http://w3.access.gpo.gov/usbudget/fy2000/guide04.html>.


I hope this answered your question. Please contact me if you need any
clarification on this answer before you rate it.

Teriffic. For 2 bucks that's a great answer! Giving me sources like
Rand, BBC and that Citizen's Guide to the Federal Budget is just what
I wanted. Thanks Guru.
-chris

Chris, 

Thank you for the rating and the tip. You're always welcome!