CBO June 2024 Projection Update
Now projects a federal deficit of $1.9 trillion in fiscal year 2024 , that amount is $0.4 trillion (or 27 percent) larger than the agency estimated in its previous baseline projections, published in February 2024.
The cumulative deficit over the 2025‒2034 period is now projected to total $22.1 trillion, which is $2.1 trillion (or 10 percent) more than previously projected.
Debt swells from 2024 to 2034 as increases in interest costs and mandatory spending outpace decreases in discretionary spending and growth in revenues.
In my opinion, their economic assumptions are optimistic. Therefore, it might be safer to assume that the debt and deficit are more likely to turn out worse than expected rather than better.
Instead of improving, each update is projecting larger deficits. Personally, I have serious doubts that there will be any move towards austerity. They are implementing depression-level fiscal stimulus in an inflationary economy with low unemployment.
