Washington Examiner: Budget office: U.S. debt picture has 'worsened dramatically'
Congress' budget office again warned that the U.S. faces a massive debt problem Tuesday, using stark language to describe the government's long-term mismatch between spending and revenues even as it slightly upgraded its projections for debt over the next 25 years.
"The long-term outlook for the federal budget has worsened dramatically over the past several years, in the wake of the 2007-2009 recession and slow recovery," the Congressional Budget Office reported in its long-term budget outlook for 2015 released Tuesday.
The Budget Office, a nonpartisan in-house think tank for Congress, projected that the federal debt is set to rise from 74 percent of economic output today to 103 percent by 2040, driven by spending on government healthcare and retirement programs and interest payments on the debt.
Update: Government Debt to Reach 107% of U.S. Economy in 2040, CBO Says -- Bloomberg
WNU Editor: This projection is 25 years in the future .... who knows what may happen in the next year let alone 25 years from now. But on the heel of this US Congressional Budget Office report are reports that many of the world's key central bankers are now preparing for a financial shock .... not 25 years from now but today .... Central banks stash cash for unwind shock (Financial Times). It makes you wonder on what do they know and what they are not telling us.
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