Budgetary and Economic Outlooks to 2023 and Their Macroeconomic Effects

If current laws remain in place, the Congressional Budget Office (CBO) estimates, the federal budget deficit will total $845 billion in fiscal year 2013; this will be the first time since 2008 that the budget shortfall will be less than $1 trillion. At 5.3 percent of gross domestic product (GDP), that deficit will be well below the peak of 10.1 percent in 2009 but still larger than in all by one year between 1947 and 2008. As a result, debt held by the public is estimated to increase to 76 percent of GDP by the end of 2013, the largest ratio since 1950. This book examines the budgetary and economic outlooks to fiscal year 2023 and their macroeconomic effects.