CBO Forecast Confirms Economy Slowly on the Rebound But Deficits Continue
On January 31, the Congressional Budget Office (CBO) released its annual Budget and Economic Outlook, a report showing that our economy is gradually recovering from the worst recession since the Great Depression. However, the facts highlight the need to help American families in the short term as well as tackle the deep budget deficits in the long-term. Both actions are necessary to put our nation on a path to fiscal sustainability.
CBO's estimates reflect recent actions that have improved the ten-year budget outlook, including enactment of the Budget Control Act and 2012 appropriations. However, other future likely actions will make the deficit worse than CBO's projections, which are required to be based on the assumption that current law remains unchanged.