Record Deficit For 5th Straight Year

Bush continues to talk about how well our economy is doing and live in his own fantasy world despite news like this:

Trade deficit reaches a record high for the fifth straight year

WASHINGTON - The deficit in the broadest measure of trade hit an all-time high in 2006 and for the first time the United States even ran a deficit on investment income.

The Commerce Department reported that the imbalance in the current account jumped by 8.2 percent to $856.7 billion, representing a record 6.5 percent of the total economy. It marked the fifth straight year the current account deficit set a record.

Investment flows turned negative by $7.3 billion from a surplus of $11.3 billion in 2005. It was the first time investment income has been negative on records going back to 1929. That means foreigners earned more on their U.S. holdings than Americans earned on their overseas investments.

While the U.S. has run deficits in its trade in goods every year since 1976, until last year it had still been able to record a surplus in investments.