The following is an analysis of the Summary section of the January 2001 CBO Appendix E.  The text is *RED are comments included by the website host.

 

 

The Budget and Economic Outlook: Fiscal Years 2002-2011
January 2001
Section 12 of 15

 



Appendix E


CBO's Economic Projections for 2001 Through 2011

Year-by-year economic projections for 2001 through 2011 are shown in the accompanying tables (by calendar year in Table E-1 and by fiscal year in Table E-2). The Congressional Budget Office did not try to explicitly incorporate cyclical recessions and recoveries into its projections for years after 2002. Instead, the projected values shown here for 2003 through 2011 reflect CBO's assessment of average values for that period--which take into account potential ups and downs in the business cycle.
 


Table E-1.
CBO's Year-by-Year Economic Projections for Calendar Years 2001-2011


 

Estimated
2000

Forecast


 

Projected


 

2001

2002

 

2003

2004

2005

2006

2007

2008

2009

2010

2011


Nominal GDP (Billions of dollars)

9,974

 

10,446

11,029

 

11,623

12,206

12,809

13,439

14,100

14,796

15,525

16,308

17,132

 

Nominal GDP (Percentage change)

7.3

 

4.7

5.6

 

5.4

5.0

4.9

4.9

4.9

4.9

4.9

5.0

5.0

 

Real GDP (Percentage change)

5.1

 

2.4

3.4

 

3.3

3.0

3.0

3.0

3.0

3.0

3.0

3.1

3.1

 

GDP Price Index (Percentage change)

2.1

 

2.3

2.1

 

2.0

1.9

1.9

1.9

1.9

1.9

1.9

1.9

1.9

 

Consumer Price Indexa (Percentage change)

3.4

 

2.8

2.8

 

2.7

2.5

2.5

2.5

2.5

2.5

2.5

2.5

2.5

 

Unemployment Rate (Percent)

4.0

 

4.4

4.5

 

4.5

4.7

4.8

4.9

5.0

5.1

5.2

5.2

5.2

 

Three-Month Treasury Bill Rate (Percent)

5.8

 

4.8

4.9

 

5.0

4.9

4.9

4.9

4.9

4.9

4.9

4.9

4.9

 

Ten-Year Treasury Note Rate (Percent)

6.0

 

4.9

5.3

 

5.5

5.6

5.7

5.8

5.8

5.8

5.8

5.8

5.8

 

Tax Bases (Billions of dollars)

 

 

Corporate profitsb

934

 

929

940

 

972

1,013

1,048

1,085

1,127

1,184

1,240

1,308

1,374

 

Wages and salaries

4,770

 

5,031

5,319

 

5,605

5,883

6,169

6,468

6,782

7,111

7,456

7,827

8,217

 

Tax Bases (Percentage of GDP)

 

 

Corporate profitsb

9.4

 

8.9

8.5

 

8.4

8.3

8.2

8.1

8.0

8.0

8.0

8.0

8.0

 

Wages and salaries

47.8

 

48.2

48.2

 

48.2

48.2

48.2

48.1

48.1

48.1

48.0

48.0

48.0


SOURCES: Congressional Budget Office; Department of Commerce, Bureau of Economic Analysis; Department of Labor, Bureau of Labor Statistics; Federal Reserve Board.

NOTE: Percentage changes are year over year.

a. The consumer price index for all urban consumers.

b. Corporate profits are book profits.


 


Table E-2.
CBO's Year-by-Year Economic Projections for Fiscal Years 2001-2011


 

Actual
2000

 

Forecast


 

Projected


 

 

2001

2002

 

2003

2004

2005

2006

2007

2008

2009

2010

2011


Nominal GDP (Billions of dollars)

9,828

 

10,319

10,880

 

11,477

12,059

12,656

13,279

13,932

14,619

15,338

16,109

16,922

 

Nominal GDP (Percentage change)

7.4

 

5.0

5.4

 

5.5

5.1

5.0

4.9

4.9

4.9

4.9

5.0

5.0

 

Real GDP (Percentage change)

5.4

 

2.7

3.2

 

3.4

3.1

3.0

3.0

3.0

3.0

3.0

3.1

3.1

 

GDP Price Index (Percentage change)

1.9

 

2.3

2.2

 

2.1

1.9

1.9

1.9

1.9

1.9

1.9

1.9

1.9

 

Consumer Price Indexa (Percentage change)

3.2

 

2.9

2.8

 

2.8

2.6

2.5

2.5

2.5

2.5

2.5

2.5

2.5

 

Unemployment Rate (Percent)

4.0

 

4.3

4.5

 

4.5

4.6

4.8

4.9

5.0

5.1

5.2

5.2

5.2

 

Three-Month Treasury Bill Rate (Percent)

5.6

 

5.2

4.8

 

5.1

5.0

4.9

4.9

4.9

4.9

4.9

4.9

4.9

 

Ten-Year Treasury Note Rate (Percent)

6.2

 

5.1

5.1

 

5.5

5.6

5.7

5.7

5.8

5.8

5.8

5.8

5.8

 

Tax Bases (Billions of dollars)

 

 

Corporate profitsb

920

 

927

935

 

962

1,004

1,039

1,076

1,115

1,170

1,225

1,290

1,358

 

Wages and salaries

4,696

 

4,965

5,246

 

5,535

5,813

6,097

6,392

6,702

7,027

7,368

7,733

8,118

 

Tax Bases (Percentage of GDP)

 

 

Corporate profitsb

9.4

 

9.0

8.6

 

8.4

8.3

8.2

8.1

8.0

8.0

8.0

8.0

8.0

 

Wages and salaries

47.8

 

48.1

48.2

 

48.2

48.2

48.2

48.1

48.1

48.1

48.0

48.0

48.0


SOURCES: Congressional Budget Office; Department of Commerce, Bureau of Economic Analysis; Department of Labor, Bureau of Labor Statistics; Federal Reserve Board.

NOTE: Percentage changes are year over year.

a. The consumer price index for all urban consumers.

b. Corporate profits are book profits.