CBO Projects Inflation Will Continue into 2023
S E E D E D C O N T E N T
Read full articleZachary Evans May 26, 2022, 9:32 AM·1 min read
Inflation will decrease slightly but likely continue into 2023, the Congressional Budget Office said in a report released on Wednesday on the outlook of the economy and federal budget for the next ten years.
The consumer price index will hit 4.7 percent in the fourth quarter of 2022 compared with the same period in 2021, the CBO projected. Inflation will continue to decrease to 2.7 percent by the fourth quarter of 2023. Inflation would thus remain higher than levels recorded prior to the Covid pandemic.
"In CBO's projections, elevated inflation persists in 2022 because of the combination of strong demand and restrained supply in the markets for goods, services, and labor. In response, the Federal Reserve tightens monetary policy, and interest rates rise rapidly," CBO director Phillip L. Swagel said in a statement on the report.
The projection comes after the CPI hit 8.5 percent in March 2022 compared with the same month in 2021, the highest increase since 1982. The Federal Reserve announced in March that it would raise interest rates for the first time since December 2018 in order to rein in inflation.
Concerns over inflation have come to a head prior to the 2022 midterms. A CBS News poll released on Monday found that 69 percent of respondents felt the state of the U.S. economy is "bad."
The CBO report also projected that U.S. GDP will grow by 3.1 percent in the fourth quarter of 2022 compared with the same period the previous year, slower than the 5.5 percent pace recorded in the fourth quarter of 2021. GDP growth will likely slow to 2.2 percent in 2023.
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News to Democrats---inflation is "temporary" says Biden.
I guess 2-3 years is considered merely temporary by some folks.
This means Democrats won't be able to run on the economy.
That leaves them with the green agenda, abortion, and gun controls.
Doesn't sound like a winning agenda to run on when people's finances are hurting.
Yes, that is temporary. Can you provide a documented definition that says that if something lasts 2-3 years, it is considered permanent?
Most of the people I know don't think a period of 2-3 YEARS is temporary.
Parse words elsewhere.
But you focus on ONE WORD while the gist of the statement escapes you.
Okay, let's pretend you get pulled over for a traffic violation, say a taillight is out. The officer discovers you have no insurance and no valid driver license. He takes you to jail.
They hold you for 2-3 years.
You would be cool because THAT is temporary, right?
LMMFAO!
If inflation lasts for two or three years the Democrats can kiss the presidency goodbye.
Brandon is only a temporary president now. He can still do damage to the US; but his time is over.
Biden will be a lame duck soon enough.
Not a chance Dems hang on to the majority with the economy the way it is, high gas prices, and inflation at or near 40 year highs.
Avoiding the question again? Provided a documented definition that states that 2-3 years constitutes permanence.
Would that be cool? No.
Is that temporary? Yes.
Inanity deserves no answers.
Not if Trump is running against him. Or DeathSantis.
R-i-g-h-t.
/s
You'll see soon enough.
See what? That 2 years = permanent?
please refrain from making inane replies to me.
Your question is irrelevant...and stupid
Greg, do you also believe that 2 years is the same as permanent?
No need to indulge the poster.
Arguing over what the majority already knows and can agree on is silly.
Simple fact is that Democrats will pay the price for the economy and inflation come November.
And whether "temporary" or "permanent", Biden takes the blame--like all other Presidents before him. Which makes the midterms sweet for the GOP.
On second thought, you won't see it.
Afraid of Greg's answer?
Now trying to tell him how he should answer and how he should think?
Did Trump take the blame for the crashing economy and skyrocketing unemployment at the end of his term? I'll give you a clue.
Not at all. What in my post led you to ask such a question?
Clearly not. Stop projecting.
Biden will be blamed like all Presidents are blamed for a poor economy and inflation. Pretending otherwise is rather foolhardy.
Why are you so obsessed with Trump?
Stop living in the past!
I'm not, I just like pointing out right wingers hypocritical beliefs and Trump is useful for highlighting those.
I challenge you to go 100 posts without dragging Trump into them.
Maybe if we were talking about a century. Only an idiot would think 2 - 3 years is temporary.
Given you are asking this question, you can provide documentation reflecting it isn't permanent? Do I need a foil hat to see it?
No, just suspend your mind from all traces of logic and knowledge, and VOILA!
I can't just turn off common sense, logic and critical thinking skills. Will hitting myself in the head with a ball peen hammer get me to their level?
If you do it enough times to cause brain death, probably, but not guaranteed.
I don't see this as being reversible. I may pass. I couldn't imagine living like that.
I have never seen a case where it did reverse.
On the plus side, I could be the Democrat nomination for President. Nah, I'll pass.
per·ma·nent
/ˈpərmənənt/
adjective
lasting or intended to last or remain unchanged indefinitely.