Pursuit's Take
The Congressional Budget Office (CBO) predicts without any action from Congress, our debt to GDP will reach 152% in 2048. This report lays out options Congress can take to maintain or reduce federal deficits.
According to CBO, in order to keep debt at 78% of GDP, Congress would have to cut spending or increase revenues every year for 29 years by 1.9% of GDP – the equivalent of $400 billion. In order to reduce debt to 41% of GDP (the 50 year average) by the year 2048, Congress would have to cut spending or increase revenues every year for 29 years by 3% of GDP – the equivalent of $630 billion. Finally, if Congress wants to cap our debt to GDP at 100%, Congress would have to cut spending or increase revenues every year for 29 years by 1.3% of GDP – the equivalent of $270 billion.
Read the full report