The U.S. economy will grow slower than anticipated and joblessness will stay high as the fallout of the deepest recession since the Great Depression takes its toll, the Congressional Budget Office said Tuesday.
Continue Reading Below
In testimony to a ``super committee'' of Congress weighing deficit-reduction steps, CBO Director Douglas Elmendorf said the non-partisan agency sees economic growth of around 1.5 percent this year and 2.5 percent in 2012. That's down from CBO's August estimate of 2.3 percent and 2.7 percent, respectively.
The U.S. unemployment rate, CBO said, now at 9.1 percent, will remain ``close to 9 percent through the end of 2012,'' Elmendorf said. Last month, CBO estimated joblessness at 8.9 percent this year, falling to 8.5 percent in 2012.