Statement on the CBO’s Budget and Economic Outlook

NEW YORK — Michael A. Peterson, President and CEO of the Peter G. Peterson Foundation, commented today on the release of the June 2017 Budget and Economic Outlook from the nonpartisan Congressional Budget Office (CBO):
“CBO’s latest report makes clear that America remains on an unsustainable fiscal path that threatens economic growth. As lawmakers debate significant reforms, our growing deficits should be a factor in every policy conversation.
“CBO projects that deficits will reach $1 trillion by 2022, and total more than $10 trillion over the next decade. Interest costs alone will become the third largest federal program in just over ten years, crowding out important investments in our economy. With these increasing deficits, our debt will reach 91 percent of our economy in 2027 — the highest level since 1947, and more than double the 50-year historical average.
“CBO warns that these levels of growing debt will have harmful consequences for both the federal budget and the economy.
“While the Administration and Congress debate key policy reforms this year, lawmakers must take into account the unsustainable fiscal path we are already on. New policies should actually improve our fiscal outlook, which is necessary to build a foundation for a strong and vibrant economy for the future.”
Further Reading
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