The Congressional Budget Office has updated its forecasts for economic growth over the next couple of years. In so doing, they’ve issued what may be the first honest economic forecast we’ve ever seen.
What does the CBO think the economy will do over the next couple of years? The same thing almost everyone else thinks it will do: Grow modestly, starting soon.
Unlike other forecasters, however, the CBO includes a chart revealing that it actually has no idea what the economy will do. Specifically, the chart shows what the economy will do if the CBO is as wrong in its current forecast as it has been in previous forecasts. What’s more, it notes that the circumstances underlying the current economic projections suggest that the CBO may well be MORE wrong than they have been in the past.
So let’s hear it for the CBO!