Economy

CBO regularly assesses the state of the economy and prepares economic projections that underlie the agency’s projections for the federal budget and cost estimates for proposed legislation. CBO also produces studies on specific economic issues, such as trends in productivity and the condition of labor markets, and examines the economic impact of significant proposed changes in federal spending programs and the federal tax system.

  • Report

    CBO estimates that real gross domestic product will contract by 11 percent in the second quarter of this year, which is equivalent to a decline of 38 percent at an annual rate, and that the number of people employed will be almost 26 million lower than the number in the fourth quarter of 2019.

  • Report

    In CBO’s projections of the outlook under current law, deficits remain large by historical standards, federal debt grows to 98 percent of GDP by 2030, and the economy expands at an average annual rate of 1.7 percent from 2021 to 2030.

  • Report

    CBO’s economic forecasts have been comparable in quality to those of the Administration and the Blue Chip consensus. Large errors in CBO’s forecasts tend to reflect challenges faced by all forecasters.

  • Report

    CBO has developed “rules of thumb” that show how changes in four key economic variables might affect revenues, outlays, and deficits. An interactive workbook allows users to see the budgetary effects of their own alternative scenarios.

  • Report

    How much do companies benefit from corporate inversions? In this report, CBO analyzes the reasons for and effects of inversions. CBO also projects how inversions and certain other strategies will affect future U.S. corporate tax revenues.

  • Report

    The United States has 14 preferential trade agreements with 20 of its trading partners. In CBO's view, the consensus among economic studies is that, all told, such agreements have had small positive effects on the U.S. economy.