The Nation - News from Jan. 21, 1987

President Reagan’s fiscal 1988 budget would produce a deficit about $30 billion higher than the Administration claims, overshooting statutory limits by a wide mark, the Congressional Budget Office said. In a preliminary analysis submitted to the Senate Budget Committee, the nonpartisan CBO estimated that spending in the year beginning Oct. 1 would be $16 billion to $21 billion higher than the Administration included in the budget submitted to Congress on Jan. 5. On the other side of the ledger, the Administration was overstating the government’s expected cash intake by $11 billion, mostly because of economic predictions underlying its spending plan, the CBO said.