Using the attached tables: Compare the Actual 2021 and projected 2022 columns, and provide at least 2 takeaways that can relateto fiscal policy.
Table 1-1. CBO's Baseline Budget Projections, by Category Actual 2023 2025 2026 2021 2022 2024 2027 2028 2029 2030 2031 2032 In Billions of Dollars Revenues Individual income taxes 2,044 2,623 2.579 2,542 2,979 3,436 3.582 13.400 Payroll taxes 1,314 1.465 1.572 1.625 .669 1.72 .923 2,072 2.150 456 478 483 473 470 491 505 2.347 Corporate income taxes 372 Other 317 283 279 290 310 370 424 6,402 4.047 4.836 4.924 4,982 5,280 5,548 5,716 .934 6,161 6,662 25,623 Total 4,890 On-budget 3.095 3,782 3,754 3,737 3,753 4,008 4,229 4,347 4.514 4,689 4,875 5.078 19.481 Off-budget 952 1.054 1 136 1,186 1,228 1,272 1,320 1.369 1,420 1,472 1.527 1.584 6.142 Outlay's 4.834 3.674 3,656 3.834 4.032 4,542 4.911 5,162 5.461 19.401 Mandatory 3,751 1,636 1,722 1.758 1,798 1,862 1,930 1,996 2.057 2,096 2.155 2.261 Discretionary Net Interest 352 442 525 604 681 842 925 1.007 1,099 1,194 3.009 Total 6,822 5,872 5,874 5,980 6,300 6,643 6,958 7.441 .585 8,074 8,469 8,915 31,754 5,819 4.794 4.688 4,705 4.942 On-budget 5,208 5,436 5.626 5,872 6.258 6,546 6 887 24.979 1,004 1.077 1.186 1,275 1.358 1,436 1,521 1.614 713 1816 1.923 2.029 6,775 Off-budget Total Deficit 2.775 1,036 -984 -1,056 1,318 -1,364 -1,409 -1.725 1.651 1,912 2,067 -2.253 6.131 -934 968 -1,189 -1.200 -1,207 -1.480 -1.358 -1,808 On-budget -2.724 -1,013 -1.568 1.671 23 -88 130 202 293 34 -396 445 633 Off-budget Primary Deficit 2.423 637 -531 -714 683 853 883 726 969 -1.060 3,122 35,808 37.949 10.213 Debt Held by the Public 22.284 24,173 25,193 26.217 27.561 28,925 30,326 32,105 33,760 Memorandum: 22.365 24.694 26.240 27.291 28,271 29,266 30,332 31,487 32,716 33,996 35,318 36,680 141,400 Gross Domestic Product As a Percentage of Gross Domestic Product Revenues Individual income taxes 10.6 Payroll taxes 5.9 5.9 Corporate income taxes 1.7 1.6 Other 14 Total 18.1 19.6 18.1 On-budget 13.8 15.3 18.6 Off-budget 43 Outlay's Mandatory 21.6 15.2 7.3 14.0 Discretionary 7.0 Net Interest 16 30.5 23.8 224 23 6 Total Table 1-3. CBO's Baseline Projections of Federal Debt Billons of Dollars Actual 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 202 Debt Held by the Public at the 21.017 22,284 24.173 25,19 26,217 27.561 28,925 80,326 32,105 33,760 35,808 37,949 Beginning of the Year Changes in Debt Held by the Public .912 2,067 2,253 Deficit 2.775 1.036 184 1.056 1.318 1,364 1,409 1,725 1,651 853 36 -32 26 54 136 74 10 Other means of financing 1.508 1.267 1.889 1.020 1.024 1.344 1.364 1.401 1.779 1.655 2.048 2.141 2.264 Total Debt Held by the Public at the End of the Year In billions of dollars 22,284 24,173 25,193 26,217 27.561 28,925 30,326 32,105 33,760 35,808 37,949 40,213 97.5 98.8 100.0 102.0 103.2 105.3 107.5 109.6 As a percentage of GDP 99.6 97.9 96.0 96.1 Memorandum: Federal Financial Assets 1.647 2.500 2.536 2,504 2.530 2,530 2,522 2.576 2,580 2,716 2,790 2,800 Debt Net of Financial Assets 37,413 In billions of dollars 20.637 21,673 22,657 23,713 25,031 26,395 27.804 29.529 31,180 33,092 35,160 As a percentage of GDP 92 3 87.8 86.3 86.9 88.5 90 2 91.7 93.8 95.3 97.3 99.6 102.0 Federal Reserve Holdings of 5,431 5,536 4,636 3,796 3,315 3,540 3.930 4,351 4,772 5,176 5,581 5,986 Debt Held by the Public Debt Net of Financial Assets and Federal Reserve Holdings 23,874 25,179 26,408 In billions of dollars 15.206 16,136 18.021 19,917 21.716 22,855 27,916 29,578 31,42 As a percentage of GDP 68.0 65.3 68.7 73.0 76.8 78.1 78.7 80.0 80.7 82.1 83.7 85.7 43,445 45,350 Gross Federal Debt 28,386 30.621 31,761 32.887 34.245 35,597 36,835 38,377 39,849 41,599 Debt Subject to Limit 28,401 30.637 31.777 32,903 34.261 35,614 36,852 38,394 39,866 41.617 43,464 45,370 Average Interest Rate on Debt Held 1.8 1.9 2.0 2.2 2.4 2.5 2.7 2.8 2.9 3.0 3.1 3.1 by the Public (Percent) Back to Table of Contents
