Federal Debt ¡ri 2040 ﬁírtdei‘ Various Fïuoïget Scenarios
Incorporatíng macroeconomic feedback, CBO proiects that debt as a percentage of GDP in 2040 would be . . .
Extended Baseline "Ilï/
Fiscal Scenario (With lO-Year Deticit "lïlïï
increased by About S2 Trillion)
With lO-Year Defirit '51.’
Reduced by S2 Trillion
With lO—Year Deficit ‘V’
Reduced by S4 Trillion
0 40 80 120 lóO 200
Percentage ot GDP
The macroeconomíc effects ot growing debt would make budgetary outcomes worse, boosting proiected debt held
by the public to lO7 percent ot GDP in 2040 under the extended baseline. CBO also analyzed the effects ot three
additional sets ot fiscal policies—one that would result in larger deticits and more debt than the amounts in the
extended baseline and two illustrative Scenarios that would result in smaller deticíts and lower debt.