Presidential candidates may talk a good game when it comes to fiscal responsibility, but the reality come January is likely to be a lot messier.
Future projections for U.S. debt and deficits already are bleak — by 2025 the deficit is likely to exceed $1 trillion and total federal debt will be more than $29 trillion, according to Congressional Budget Office projections.
However, plans from both Hillary Clinton and Donald Trump, the likely respective nominees for the Democrat and Republican parties, offer little hope that conditions will turn around under the next administration.
"Both candidates also have bold ideas on tax reform that might reshape the character of the domestic tax landscape," Citigroup economists said in a report for clients. "But despite comprehensive attempts by tax policy think tanks to determine the extent to which Trump's and Clinton's proposals might either reduce or increase tax revenues, it is unclear which candidate might successfully neutralize the looming threat of outsized Federal debt and deficits over the next decade."