Nation IN BRIEF : WASHINGTON, D.C. : Budget Office Sees $298-Billion Deficit

The Congressional Budget Office predicted that the government will chalk up a record deficit of $298 billion this fiscal year, cautioning that the cost of the Persian Gulf War will drive the cash shortfall even higher. The budget office prediction is slightly less than the White House projection but significantly more than last year’s shortfall. The congressional projection has jumped substantially since July, when it was $232 billion. Office Director Robert Reischauer put some of the blame for the increase on the poor economic outlook.