Explaining Analytical Methods

The Congressional Budget Act of 1974 requires CBO to prepare estimates of the cost of legislation at certain points in the legislative process. This document provides answers to questions about how CBO prepares those cost estimates.

The Congressional Budget Act of 1974 requires CBO to produce an annual report on federal spending, revenues, and deficits or surpluses. This document provides answers to questions about how CBO prepares those baseline budget projections.

CBO explains some of the guidelines it follows when providing information to the Congress about the budgetary effects of proposed legislation.

The Congress uses CBO’s cost estimates to help it implement rules and procedures related to budget enforcement. Those rules and CBO’s estimates recognize the differences among the three primary components of the federal budget.