What role does the Congressional Budget Office (CBO) play in the budget process?

The Congressional Budget Office (CBO) serves a critical role in the budget process by providing independent analysis of budgetary and economic issues to Congress. This function is essential as it offers lawmakers nonpartisan information and insights to aid in their decision-making regarding fiscal policy and budgetary priorities. The CBO conducts various assessments, such as cost estimates for proposed legislation, economic forecasts, and analysis of the long-term budget outlook. Such analyses enable Congress to better understand the implications of their budgetary decisions and ensure that they are well-informed as they develop and amend budgets.

By maintaining its independence from the executive branch and avoiding political influence, the CBO upholds its reputation as a reliable source of financial information specifically tailored for legislative use. This aspect distinguishes the CBO from other entities that may have conflicting interests or policy motivations.