Economic Review

In his article in the November/December 1985 issue of this publication, William G. Dewald computed inflation-adjusted values for federal budget deficit projections from the 1986 Congressional Budget Resolution and argued that, under certain assumptions, the adjusted deficit would disappear by 1990.  In this addendum to his earlier article, Dewald similarly adjusts deficit targets from the Gramm-Rudman-Hollings balanced-budget law and claims that, appropriately adjusted for inflation, the budget will be in surplus rather than merely balance by 1991.