On Wednesday, the Congressional Budget Office (CBO) released its Monthly Budget Review (MBR) for the month of June, providing a review of the federal budget through the first nine months of fiscal year 2010. It seems that revenues were about the same as they were last year at this time, but spending was down about 3 percent. These factors have combined to provide the country with a roughly $1.0 trillion deficit so far this year, which is "about $80 billion less than the shortfall last year at this time."

Writing in the New York Times over the long weekend, Nobel laureate Paul Krugman continued to make the case for more government stimulus of the economy. He wasn't advocating for the usual stimulus that funds road and bridge projects or shores up state budgets – though that is still needed. He was promoting unemployment insurance (UI), which is helping to hold the economy together by keeping the jobless in their homes and food on their tables as they slog through "the worst job market since the Great Depression."

Ryan McNeely had an interesting post over at Think Progress this afternoon on Roll Call's recent "extremely flattering profile" of Rep. Stephanie Herseth Sandlin (D-SD), a leader among the Blue Dog Coalition in the House. McNeely notes that the article portrays Herseth Sandlin "as a thorn in the side of [Rep.] Nancy Pelosi [D-CA], bravely defending the nation from increased deficits." Of course, the problem with that description, like the media's general portrayal of the debate on deficits and debt, is that it is so oversimplified that "it does a grave disservice to our discourse."

The Budget Brigade has learned that Sen. Bernie Sanders (I-VT), along with Sens. Tom Harkin (D-IA) and Sheldon Whitehouse (D-RI) as co-sponsors, will soon introduce the "Responsible Estate Tax Act." While the bill would essentially reinstate the estate tax at 2009 levels – exempting the first $3.5 million of an individual's estate ($7 million for couples) – it has a more progressive tax rate structure that targets the wealthiest one quarter of one percent of the population, and protects small businesses and family farms.