Wednesday, June 06, 2012

Long-Term U.S. Budget Outlook

The Congressional Budget Office (CBO) has released The 2012 Long-Term Budget Outlook complete with a summary, supplemental data, and an infographic. The CBO predicts that the federal debt will reach approximately 70 percent of gross domestic product (GDP) by the end of 2012, "the highest percentage since shortly after World War II."  The report presents two possible scenarios (extended baseline and extended alternative fiscal scenario) about federal revenues and spending  and corresponding budgetary outcomes.