NATIONAL BRIEFING
Running big budget deficits threatens the health of the U.S. economy and could cut the nation's standard of living, Federal Reserve Chairman Ben S. Bernanke said.</br></br>The budget deficit totaled $319 billion last year, less than in 2004 but still the third-largest deficit ever recorded. This year, the White House forecasts a budget deficit of $423 billion -- a record in dollar terms.</br></br>As baby boomers start retiring and collecting Social Security and Medicare benefits, the budget will come under "severe pressure," Bernanke said in a written response to questions from Sen. Robert Menendez (D-N.J.) after the Fed chief's remarks at a congressional hearing on the economy in February.</br></br>U.S. retail sales fell last month after the biggest gain in more than four years, as auto purchases declined and the return of cold weather discouraged shoppers.</br></br>The 1.3 percent decline was the first decrease in six months and followed a revised 2.9 percent rise in January that was larger than initially estimated, the Commerce Department said. Excluding automobiles, sales fell 0.4 percent last month after rising 2.6 percent in January.