Congressional Budget Office

More tax revenue, less need for budget cuts

More tax revenue, less need for budget cuts

Rising tax receipts are shrinking the federal deficit, and that will shape the budget debate when Congress returns from vacation next month. The big question for lawmakers: Should they renew, end or modify the tens of billions of dollars in “sequester” cuts in government spending that took effect earlier this year? Tax revenue through June […]

CBO says costly Senate-passed immigration will could slash illegals by half

CBO says costly Senate-passed immigration will could slash illegals by half

A Senate-passed immigration bill would significantly reduce the flow of illegal immigrants, but increased U.S.-Mexico border security costs would eat into projected budget savings, the Congressional Budget Office said on Wednesday. The CBO concluded that the bill, which would double the number of federal agents along the border and complete the 700 miles of fencing, […]

Senate immigration bill gets boost from budget office

Senate immigration bill gets boost from budget office

Supporters of a far-reaching immigration bill in the Senate see fresh momentum from a report by the Congressional Budget Office that says the measure would boost the economy and reduce federal deficits by billions of dollars. Congress’ nonpartisan scorekeeping agency said Tuesday that the immigration bill would decrease federal red ink by $197 billion over […]

Lowered deficit forecasts also lowers drive for budget deal

Lowered deficit forecasts also lowers drive for budget deal

The chances of a deal between Democratic and Republican lawmakers that would overhaul the tax system, trim government spending and reform safety net spending programs appear to be fading. A sudden improvement in the outlook for the government deficit over the next decade has alleviated some of the pressure on lawmakers to act. And a […]

Obama”s budget: Higher, then lower deficits?

Obama”s budget: Higher, then lower deficits?

Near-term U.S. deficits under President Barack Obama’s 2014 budget plan would be higher than those forecast by the Congressional Budget Office this week but would be $1.1 trillion lower over the coming decade, CBO said on Friday. The non-partisan congressional budget referee agency said that due to proposed spending increases, Obama’s budget proposal would lead […]

High cost of health care attacks Pentagon

High cost of health care attacks Pentagon

The loud, insistent calls in Washington to rein in the rising costs of Social Security and Medicare ignore a major and expensive entitlement program — the military’s health care system. Despite dire warnings from three defense secretaries about the uncontrollable cost, Congress has repeatedly rebuffed Pentagon efforts to establish higher out-of-pocket fees and enrollment costs […]

Dire budget warnings from two former federal fiscal chiefs

Dire budget warnings from two former federal fiscal chiefs

Two former budget chiefs who worked for presidents from opposing political parties said on Monday that the government should reduce military spending, scale back Social Security payments and end decade-old income tax cuts to reduce the federal deficit. David Stockman, who was Republican Ronald Reagan’s budget director from 1981 to 1985 and a key architect […]

Sequester budget impacts on jobs are exaggerated

Sequester budget impacts on jobs are exaggerated

Deep government spending cuts are unlikely to weigh on employment as heavily as initially feared, with most of the impact reducing hours worked rather than payrolls, according to economists. The non-partisan Congressional Budget Office last month estimated that the $85 billion in federal budget cuts known as the “sequester,” which started taking hold on March […]

Fed not expected to relax interest rates during economic surge

Fed not expected to relax interest rates during economic surge

The U.S. economy is strengthening on the fuel of more job growth, rising home prices and solid retail sales. Just don’t expect the Federal Reserve to let up in its drive to keep stimulating the economy with record-low interest rates. Not yet, anyway. That’s the view of economists as Fed policymakers hold a two-day meeting […]