How CBO and Joint Committee Staff Prepare Dynamic Analyses

This letter explains how CBO and staff of the Joint Committee on Taxation develop estimates of the budgetary and economic effects of legislation. The letter answers questions about what is included in different types of estimates, how debt is accounted for, how the two agencies reconcile differences, how effects are incorporated into CBO's baseline projections, and how CBO models changes in energy production.

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How CBO and Joint Committee Staff Prepare Dynamic Analyses

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