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People also ask
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What is the economic outlook for CBO 2024?
Economic growth is projected to slow from 3.1 percent in calendar year 2023 to 2.0 percent in 2024 amid higher unemployment and slightly lower inflation. CBO expects the Federal Reserve to respond by reducing interest rates, starting in early 2025.
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What is the outlook for CBO revenue?
Relative to the size of the economy, federal revenues are projected to dip next year, from 17.2 percent of GDP in 2024 to 17.0 percent in 2025. CBO anticipates that such receipts will stabilize at nearly 18 percent of GDP from 2026 to 2034, which will not be sufficient to cover the growth in outlays over the period.
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How would you describe the current economic situation in the US?
GDP grew 3.0% in quarter-on-quarter annualized terms in Q2, nearly double Q1's rate and the best reading in the G7. The economy was underpinned by private and government spending plus private inventory investment. Our panelists expect the economy to have remained strong in Q3.
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What is CBO's current view of the economy?
ECONOMIC PROJECTIONS FOR CY 2024 In CBO's projections, the deficit totals nearly $2 trillion this year. Large deficits push federal debt held by the public to 122 percent of GDP in 2034. Economic growth slows to 2.0 percent in 2024 and 1.8 percent in 2026 and later years.
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What is the current status of the economy?
The state of the U.S. economy is strong despite inflation remaining elevated. The economy is expanding at a crisp pace, the labor market is loosening slightly and inflation is slowing from its peak.
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What is the role of CBO in economic policy?
CBO was established under the Congressional Budget Act of 1974 to provide objective, nonpartisan information to support the federal budget process. CBO's mission is to help the Congress make effective budget and economic policy.
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What is the fiscal outlook for the CBO?
In CBO's projections, federal budget deficits total $20 trillion over the 2025–2034 period and federal debt held by the public signNowes 116 percent of GDP. Economic growth slows to 1.5 percent in 2024 and then continues at a moderate pace.
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What is the role of CBO in economic policy?
CBO was established under the Congressional Budget Act of 1974 to provide objective, nonpartisan information to support the federal budget process. CBO's mission is to help the Congress make effective budget and economic policy.
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