C.1. Balanced Budgets and Deficit Spending

Congress shall authorize only those budgets whose projected outlays do not exceed projected revenues for the same fiscal period, as estimated by the Congressional Budget Office.

Exceptions of limited scope and fixed duration may be enacted in three circumstances:

1. A formally declared war;

2. A formally declared economic emergency; or

3. A recession, as recognized by two consecutive quarters of negative real GDP growth.

In such cases, deficit spending may not exceed the total of the budget items specifically allocated to relieve the triggering condition and may not be automatically reauthorized for any subsequent fiscal period.