A Return to Trillion Dollar Deficits
Last Updated April 9, 2018
The Congressional Budget Office (CBO) today released a new report on the Budget and Economic Outlook. CBO reports that the fiscal outlook is dramatically worse than it was last year, primarily due to the fiscally irresponsible tax legislation and budget deal that were enacted within the past few months.
In the new report, CBO projects that:
- The budget deficit is projected to total $804 billion this year — $139 billion higher than it was in 2017. It will exceed $1 trillion in 2020 and is projected to remain above that amount throughout the 10-year period.
Read our full analysis of CBO’s "The Budget and Economic Outlook: 2018 to 2028.”
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Further Reading
The National Debt Can Crowd Out Investments in the Economy — Here’s How
Large amounts of federal debt could “crowd out” investments by the private sector, making the economy less productive and stunting wage growth.
Growing National Debt Sets Off Alarm Bells for U.S. Business Leaders
Debt rising unsustainably threatens the country’s economic future, and a number of business leaders have signaled their concern.
What Is R Versus G and Why Does It Matter for the National Debt?
The combination of higher debt levels and elevated interest rates have increased the cost of federal borrowing, prompting economists to consider the sustainability of our fiscal trajectory.