Total deficit spending will increase by $11.7 trillion over the next 10 years, including an additional $1.58 trillion because of changes like the GOP tax law and the omnibus spending bill, according to a new report released by the Congressional Budget Office. Annual deficit spending will top $1 trillion by 2020.
Between the lines: Republicans have spent nearly a decade campaigning on fiscal restraint. Now, with total GOP control of Congress and the presidency, revenues have been cut while spending has increased — the opposite of fiscal conservatism and a sore spot with many GOP voters.
Other takeaways from CBO:
- The national debt will be nearly equal to the size of the Gross Domestic Product by 2028.
- Debt will be even greater if temporary policies are extended, like individual tax cuts and current discretionary funding levels.
- Between 2018 and 2028, both actual and potential real output is projected to grow at an average annual rate of 1.9 percent.