Repealing Obamacare Would Boost Economy, But Drive Deficits Deeper: CBO

Repealing Obamacare would spur the economy, adding more than half a percent to the gross domestic product at the beginning of the next decade, the Congressional Budget Office said in a new analysis Friday that still found repeal would be bad for the federal deficit.

The dual findings could both boost and hurt GOP leaders’ case as they prepare for one last major effort to repeal President Obama’s signature law before he leaves office.

Tens of millions of Americans would lose coverage they’d have under the Affordable Care Act over the next decade, but that loss would chase many of them back into the labor pool, where they would both get insurance through their jobs, and would lead to other current workers putting in more time on the job.

Combined, those would produce an economic boost equal to seven tenths of a percent from 2021 to 2025, the CBO said.