Australia recorded a record budget deficit of A$27.1 billion ($23.1 billion) in the 12 months ending June 30, 2009 after engaging in a stimulus package that included cash handouts. The realized deficit amount, however, came in significantly under that which was expected by the executive branch after tax receipts came in stronger than forecast. Treasurer Wayne Swan stated that “this stronger-than-expected outcome is the result of a combination of one-off facotrs and the effects of the government’s economic stimulus, which has contributed to stronger economic outcomes.” In other words, according to Swan, due to the government’s role in propping the economy, economic activity allowed a gruesome decline in tax receipts. A note of caution lies in this “one-off” portion of his statement. Most of the stimulus money has already been spent. All of the cash handouts have already been paid, and likely spent. One must ask whether the end of this one-off action will see a more severe decline in economic activity in the coming months.