The U.S. Congressional Budget Office has warned that the “fiscal cliff” would drive the economy back into recession and raise the jobless rate to nine-point-one percent by the end of next year.

The U.S. fiscal cliff refers to developments that would result from increases in taxes and spending cuts after the application of various tax benefits come to an end at the end of this year.

The budget office also projected that U.S. gross domestic product will grow minus half a percentage point next year.

However, the office added that in the long-run, the U.S. economy will grow and the unemployment rate will drop. It projected that by 2020, the jobless rate will slip to five-and-a-half percent.