The Congressional Budget Office reports that this year’s deficit will be less than expected – just $1.28 trillion. It also claims long-term deficits will likely be lower than earlier suggested and the unemployment rate will very slowly decline over the next year. That would have barely qualified for good news, but why is the reality even worse? Why does the CBO say it’s own numbers are too rosy? Why is the outlook so bleak? And what would be better policy for Congress to follow this time around? We ask J.D. Foster of the Heritage Foundation, who also served in the Office of Management and Budget in the George W. Bush administration.
