Skyrocketing debt, higher borrowing costs, and a hobbled economy are predicted in the latest Congressional Budget Office report.
by J.D. Tuccille
As anybody who has ever snorted a few lines of white powder to enhance an evening knows, there is a price to be paid for that artificial energy. The short-term boost is followed by a crash of longer duration. Well, America, get ready for a hell of a hangover. According to the Congressional Budget Office (CBO), the federal government’s recent stimulus spending—intended to offset the economic distress caused by voluntary social distancing and, especially, by mandatory lockdowns—is bound to be followed by an epic crash.
In a report published September 18, the CBO looks at the impact of four federal laws that are supposed to reduce the pain of social distancing as well as forced business closures and resulting job losses: the Coronavirus Preparedness and Response Supplemental Appropriations Act of 2020; the Families First Coronavirus Response Act; the Coronavirus Aid, Relief, and Economic Security (CARES) Act; and the Paycheck Protection Program and Health Care Enhancement Act.