Skip to comments.CBO: THE DEFICIT WILL SHRINK MASSIVELY IN COMING YEARS
Posted on 02/05/2013 11:07:51 AM PST by SeekAndFind
The big headline: the CBO expects the U.S. budget deficit to fall to $845 billion this year. This would be the first reading under $1 trillion in five years.
They also estimate that the deficit falls to $616 billion in 2014 and as low as $430 billion in 2015.
They assume unemployment rates of 8.0 percent in 2013 and 7.6 percent in 2014. They also assume GDP growth of 1.4 percent in 2013 accelerating to 3.4 percent in 2014.
Here are the CBO's long-term budget projections:
And here are the economic projections:
Download the full report here.
Below is the CBO's statement:
Economic growth will remain slow this year, CBO anticipates, as gradual improvement in many of the forces that drive the economy is offset by the effects of budgetary changes that are scheduled to occur under current law. After this year, economic growth will speed up, CBO projects, causing the unemployment rate to decline and inflation and interest rates to eventually rise from their current low levels. Nevertheless, the unemployment rate is expected to remain above 7½ percent through next year; if that happens, 2014 will be the sixth consecutive year with unemployment exceeding 7½ percent of the labor force—the longest such period in the past 70 years.
(Excerpt) Read more at businessinsider.com ...
And monkeys will fly out of my butt.
I don’t trust the graph. It shows debt to GDP at 80% right now...and its over 100%.
I bet they are ignoring the social security debt owed by the public to the SS Trust fund.....and that probably means they are ignoring the annual shortfall in the trust fund itself.
And, if I were a betting man, I’d say they have done the same ommission with Medicare.
why even have the CBO? They’re always wrong. Any other person/company would have been fired a long time ago if they were as wrong as the CBO is.
Good grief. This is so lacking in credibility, I don’t know where to start.
Completely. They assume things not in evidence.
They seem much happier and more optimistic about the future than I am.
Is this based on current law? (sequestration takes effect March 2013 unless Congress acts)
I wants to know! Where can I get me some of that Oxycontin that they be using.
“Deficits Grow Unexpectedly”
My understanding is that they're required to go off what the Congress gives them.
So yes, they're discredited. But only because they're not getting numbers based in reality to begin with.
Someone forgot the humor tag.
The CBO was off by $300B on its Obamacare cost estimates. All it can offer is a snapshot-in-time glimpse based on whatever info this regime hands it.
CBO Releases Latest Budget Forecast: Hilarity Ensues
“With those changes, and no offsetting reductions in deficits, debt held by the public would rise to 87 percent of GDP by the end of 2023 rather than to 77 percent.”
I thought the National Debt was already at >100% of GDP. Or are we talking about different things?
But, of course, we will still be quite bankrupt and it won’t really matter any more whether there is a deficit or not. Title to all of the assets in the nation will be held by Russians and Chinese and etc. Shrinking the deficit is not an improvement. End the deficit. Balance the budget this year and then shrink the government sufficient to begin the Great Payback. Then there is some hope that the country has an economic future other than to third world status and economically colonized.
3.6% GDP growth 2015-18....
.....and by their own #’s, the deficit starts going bonkers again........approaching $1,000,000,000,000 in 2023.
Move along. These are the debts you’re looking for.