Statement on CBO’s Updated 10-Year Budget Projections
Statement on CBO’s Updated 10-Year Budget Projections
NEW YORK — Michael A. Peterson, President and CEO of the Peter G. Peterson Foundation, commented today as the Congressional Budget Office released its updated 10-year budget projections:
“Today, CBO highlights once again that America is on an unsustainable fiscal path that threatens our economic future.
“The era of declining deficits has clearly come to an end, as the 2016 deficit will rise to $534 billion, nearly $100 billion higher than last year. By 2022, CBO projects that annual deficits will once again exceed the trillion mark — reaching $1.3 trillion in 2026 and totaling $9.3 trillion over the next 10 years. Interest costs alone will total $5.8 trillion over the next 10 years, becoming our third largest federal ‘program.’
“This election season is a perfect opportunity for a national conversation about our nation’s long-term fiscal and economic health. Americans are asking candidates to put forward a plan, and candidates have a responsibility to tell voters their ideas to put our debt on a sustainable path, and build a strong economy in the decades ahead.”
For the full CBO report, click here.
Further Reading
The Fed Held Its Target Range After Reducing the Short-Term Rate Three Meetings in a Row
High interest rates on U.S. Treasury securities increase the federal government’s borrowing costs.
How Does the United States’ Fiscal Position Compare to Other Countries’?
The United States has higher budget deficits and spends more on interest costs than its peers.
The United States Collects Less Tax Revenue Than Other G7 Countries
The U.S. collects less tax revenues compared with other G7 countries, and that lower level of revenues is a key driver of the national debt.