Posted on 06/04/2025 10:26:15 PM PDT by NoLibZone
CBO projects $3T added to debt from bill that tackles tax policy, border security, healthcare reforms
President Donald Trump's "big, beautiful bill" is projected to increase the debt by $3 trillion, with interest, or $5 trillion if made permanent, according to estimates.
An estimate of the House-passed bill by the nonpartisan Congressional Budget Office (CBO) projects it would add more than $2.4 trillion to primary deficits before interest over 10 years, according to the Committee for a Responsible Federal Budget (CRFB), a nonprofit public policy organization.
As of Wednesday, the national debt, which measures what the U.S. owes its creditors, was $36.2 trillion, and the national deficit, which occurs when the federal government’s spending exceeds its revenues, was $1 trillion, according to the Treasury Department.
The massive spending package being considered by a Republican-controlled Congress aims to address a number of issues, including tax policy, border security and immigration, defense, energy production, the debt limit, and adjustments to SNAP and Medicaid.
(Excerpt) Read more at foxnews.com ...
The phrase primary deficit was made popular in the 2011 Greece crisis. It generally means the deficit not including something horrible that is already known about and cannot be dealt with and therefore very easy to get people to talk about anything other than that. In this case the primary deficit is excluding interest on the debt, which is going to relentlessly increase.
they missed this part...tariffs will reduce the deficit by 2.8 trillion (not in story...in 10 years)
https://abcnews.go.com/Politics/cbo-trumps-tariffs-shrink-economy-add-inflation-reduce/story?id=122499805
How did they score Joe Biden’s Inflation Reduction Act?
Yup, I thought so.
The adults have spoken and all the brats are whining.
$3 Trillion over 10 years? For those guys, that’s lunch money. The scary part for them it that is replaces debt splurging with actual economic growth in the private sector, which is the only part of the economy that can actually have economic growth.
The bill is scored statically, not dynamically.
Static scoring doesn't take into account that tax cuts stimulate the economy. It assumes that tax cuts are just lost revenues.
Thanks for your explanation. Now it makes sense.
If I understand this matter correctly, the CBO and JCT also did include what they labelled a dynamic score of the bill—but their assumptions grossly underestimated the growth impact of tax cuts and the revenue potential from tariffs.
The truth is, no one can predict the full economic effects of tax cuts or trade policy.
In Washington, if something can’t be modeled with confidence, it’s treated as imaginary—so even potentially real gains get discounted as “faith-based economics.” Ergo, even GOP congressmen and senators who don't understand the dynamics of an economy will be unable to comprehend the impact of the bill or the reasons Trump wants to raise the debt ceiling.
Tax cuts means more revenue. They keep leaving that part out.
Stop tethering and pass something, so the committee can work it out.
They’ll hem and haw and hand ring, then sign it.
Who cares about being $40 Trillion in debt?
a Trillion here. a Trillion there, somebody else can pay it
I wish the CBO could predict the winning lottery numbers for me since they have been so accurate over the past decades.
Does anyone remember if ANY of their long term projections have paned out in the past 25+ years?
They just take taxes minus sprnding. They never consider other incomes, such as tariffs, and most importantly, GROWTH.
They are always wrong.
Democrats always see tax cuts as “increasing the deficit” when in reality, they increase the deficit.
No worries. President Trump has lots of experience on filing bankruptcies. He will handle national bankruptcy with ease.
Funny thing is government is having trouble finding bond buyers to pay $1.2 Trillion interest on existing bonds every year, and even more trouble paying off old bonds when they mature.
How many bankruptcies has he had exactly?
A friend of mine said he’s had more than anyone on the planet.
Trump knows what he’s doing.
Have some faith.
And not just in the man we elected.
Remember Butler.
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