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Economy To Slow This Year As The Government Tightens, CBO Says

While the economy will benefit from continued improvement in "underlying" conditions, the federal government's push to tighten its spending will slow overall growth in 2013, the Congressional Budget Office projects.

In an updated "Budget and Economic Outlook" reported released Tuesday afternoon, the agency forecasts:

-- 1.4 percent growth in gross domestic product this year, vs. 2.3 percent in 2012.

-- 2.6 percent growth in 2014.

-- 4.1 percent growth in 2015.

Meanwhile, the unemployment rate won't come down much:

-- It's expected to average 7.9 percent this year, vs. 8.1 percent in 2012.

-- 7.8 percent in 2013.

-- 7.1 percent in 2015.

As we reported earlier, the CBO's projections and the threat deep spending cuts could pose to the economy are among the reasons President Obama today urged Congress to pass a smaller package of spending reductions and tax changes that would take effect before the automatic "sequestration" takes effect on March 1.

Copyright 2013 NPR. To see more, visit http://www.npr.org/.

NPR

Starbucks' New Dress Code: Purple Hair And Fedoras OK, But Hoodies Forbidden

Yes, the green aprons remain, but you may begin noticing more personal flair underneath. Instead of black and white garments, baristas are now free to embrace "drabby chic."
NPR

Starbucks' New Dress Code: Purple Hair And Fedoras OK, But Hoodies Forbidden

Yes, the green aprons remain, but you may begin noticing more personal flair underneath. Instead of black and white garments, baristas are now free to embrace "drabby chic."
NPR

From Afar, Trump Basks In DNC Chaos

Trump has been seizing on the turmoil at the DNC as a talking point on the campaign trail.
NPR

FBI Investigates Possible Russian Connection To Leaked DNC Emails

Hackers tied to two Russian intelligence agencies breached DNC computers in May, but whether the same hackers turned over thousands of emails to WikiLeaks is still under investigation.

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