H. R. 3582
IN THE HOUSE OF REPRESENTATIVES
December 7, 2011
Mr. Price of Georgia (for himself, Mr. Garrett, Mr. Ryan of Wisconsin, Mr. Hensarling, Mr. Chaffetz, and Mr. Stutzman) introduced the following bill; which was referred to the Committee on the Budget, and in addition to the Committee on Rules, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned
To amend the Congressional Budget Act of 1974 to provide for macroeconomic analysis of the impact of legislation.
This Act may be cited as the
Pro-Growth Budgeting Act of
Macroeconomic impact analyses
Part A of title IV of the Congressional Budget Act of 1974 is amended by adding at the end the following new section:
Macroeconomic impact analysis of major legislation
Congressional Budget Office
The Congressional Budget Office shall, to the extent practicable, prepare for each major bill or resolution reported by any committee of the House of Representatives or the Senate (except the Committee on Appropriations of each House), as a supplement to estimates prepared under section 402, a macroeconomic impact analysis of the costs of such bill or resolution for—
the period for which an estimate is prepared for such bill or resolution under section 402; and
the ten fiscal-year period beginning with the first fiscal year after the last fiscal year for which an estimate was prepared under section 402 and each of the next two ten fiscal-year periods.
The analysis prepared under subsection (a) shall describe the potential economic impact of the applicable major bill or resolution on major economic variables, including real gross domestic product, business investment, the capital stock, employment, and labor supply. The analysis shall also describe the potential fiscal effects of the bill or resolution, including any estimates of revenue increases or decreases resulting from changes in gross domestic product. To the extent practicable, the analysis should use a variety of economic models in order to reflect the full range of possible economic outcomes resulting from the bill or resolution.
As used in this section—
the term macroeconomic impact analysis means—
an estimate of the changes in economic output, employment, capital stock, and tax revenues expected to result from enactment of the proposal; and
a statement identifying the critical assumptions and the source of data underlying that estimate;
the term major bill or resolution means any bill or resolution if the budgetary effects of such bill or resolution for any fiscal year in the period for which an estimate is prepared under section 402 is estimated to be greater than .25 percent of the current projected gross domestic product of the United States for any such fiscal year; and
the term revenue feedback means changes in revenue resulting from changes in economic growth as the result of the enactment of any major bill or resolution.
The table of contents set forth in section 1(b) of the Congressional Budget Act of 1974 is amended by inserting after the item relating to section 407 the following new item:
Sec. 407. Macroeconomic impact analysis of major legislation.