Georgia was set to have a $3 billion surplus at the end of the fiscal year, the Georgia Public Policy Foundation said.
A year after many feared the Georgia budget would have to be cut significantly, the state will have a $3 billion surplus at the end of the fiscal year on June 30th, filling Georgia’s rainy day fund with another $1 billion to spare, the Georgia Public Policy Foundation reported.
Escaping a flood of inflation and other concerns “without suffering numerous washouts will take some deft policymaking, locally but most especially nationally. What we’ve seen lately from Washington doesn’t inspire confidence,” foundation CEO Kyle Wingfield said.
The U.S. Department of Labor reports that consumer prices rose at the most rapid rate in close to 13 years at close to 5% in May 2021, the foundation said.
The Congressional Budget Office (CBO) predicted that if the current tax and spending laws don’t change by 2031, the U.S. National Debt will reach 107% of the GDP, the highest level in U.S. history, a report by the CBO said.
The CBO report also said that the current federal debt held by the public, which was 100 percent of the US GDP at the end of the fiscal year 2020, is projected to reach 102 percent of GDP by the end of 2021.
The United States money supply has increased by 40% since the beginning of the Covid-19 crisis. Before the period of high inflation of the 1970s, the money supply had increased by just 13%, The Federalist reported.
Former Clinton administration Treasury Secretary Lawrence Summers warned that the recent economic stimulus passed by the Biden administration will likely "set off inflationary pressures of a kind we have not seen in a generation," The Federalist said.
A Shopkick survey showed 83% of Americans are tightening their budget this year due to inflationary pressures, and 54% are "very worried" about inflation, Forbes reported.
Alerts Sign-up