CEPR - Center for Economic and Policy Research

Multimedia

En Español

Em Português

Other Languages

Home Publications Blogs Beat the Press Headline Writer at Washington Post Gets Budget Story Backward

Headline Writer at Washington Post Gets Budget Story Backward

Print
Wednesday, 27 August 2014 11:29

The headline of the Washington Post piece on the new budget projections from the Congressional Budget Office (CBO) told readers, "CBO: Deficit falls to $506 billion in 2014, but debt continues to rise."

Both parts of this are wrong if the comparison is the most recent prior set of projections. The deficit projected for 2014 is actually somewhat higher in the most recent projections, $506 billion compared to $492 billion in the projections made in April. Both figures are below last year's deficit of $680 billion. Measured as a share of GDP the deficit fell from 4.1 percent in 2013 to 2.9 percent in the most recent projections for 2014.

However the debt numbers in the new projections are lower than the debt numbers in the prior set. CBO now projects that the debt will be 77.2 percent of GDP at the end of the projection period in 2024. It previous had projected a debt to GDP ratio of 78.1 percent.

The article got both of these points right.

Comments (4)Add Comment
Both right? Or both wrong?
written by Marigold Lovefinger, August 27, 2014 2:40
The article got both these points right? You seem to have made the opposite case.
...
written by bananaguard, August 28, 2014 8:31
"Both parts of this are wrong if the comparison is the most recent prior set of projections."

Both parts of this are right if the comparison is the most recent prior year, or the most recent 6 years. Which matters more, reality or prior estimates?
Which matters more, reality or prior estimates?
written by Dean, August 28, 2014 12:20
good question. Politicians tend act based on the projections.
Also confused by your last sentence
written by JimV, August 29, 2014 11:50
Could you clarify what you meant by the last sentence of your post, please? (Or revise it if you meant wrong instead of right.)

Write comment

(Only one link allowed per comment)

This content has been locked. You can no longer post any comments.

busy
 

CEPR.net
Support this blog, donate
Combined Federal Campaign #79613

About Beat the Press

Dean Baker is co-director of the Center for Economic and Policy Research in Washington, D.C. He is the author of several books, his latest being The End of Loser Liberalism: Making Markets Progressive. Read more about Dean.

Archives