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Automatic Stabilizers in the Federal Budget: 2022 to 2032

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  • Congressional Budget Office

Abstract

Federal revenues and outlays regularly respond to cyclical movements in the economy in ways that tend to offset those movements; the budget mechanisms that drive that process are known as automatic stabilizers. Those mechanisms, which help stabilize the economy automatically, also contribute to short-run fluctuations in the deficit, without any legislated changes in tax or spending policies.

Suggested Citation

  • Congressional Budget Office, 2022. "Automatic Stabilizers in the Federal Budget: 2022 to 2032," Reports 58495, Congressional Budget Office.
    • Handle: RePEc:cbo:report:58495
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    File URL: https://www.cbo.gov/system/files/2022-10/58495-automatic-stabilizers.pdf
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    More about this item

    JEL classification:

    • H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General
    • H60 - Public Economics - - National Budget, Deficit, and Debt - - - General
    • H61 - Public Economics - - National Budget, Deficit, and Debt - - - Budget; Budget Systems
    • H62 - Public Economics - - National Budget, Deficit, and Debt - - - Deficit; Surplus
    • H68 - Public Economics - - National Budget, Deficit, and Debt - - - Forecasts of Budgets, Deficits, and Debt

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