CBO Analysis of President's Budget

The CBO just released their analysis of the President’s budget vs. their baseline 10-year forecast. The chart below does a nice (but scary!) job summarizing the persistent deficits facing our country. Long story short, the CBO projects the current year deficit to reach 13.1% of GDP based on the President’s proposed budget in 2009, and shrink to about 4-6% through the remaining years of the forecast period. In aggregate, the President’s 10-yr forecast contemplates cumulative deficits of $13.7 trillion.