hvactec
VIP Member
June 24 2012
The world's biggest economy risks recession unless Congress acts swiftly. Stephen Foley reports from New York
Politicians might be about to voluntarily put the world's largest economy into a double-dip recession.
The US is headed for what economists are calling a "fiscal cliff" at the end of this year, when massive government spending cuts are due to kick in at the same time as a big jump in tax rates. Not since the end of US government war spending in 1945 has there been such a sudden slamming on of the economic brakes. Even the bipartisan Congressional Budget Office (CBO) is sounding the alarm. Unless Congress acts, it says, the barely-recovered US economy will go straight back into recession.
Even though analysts, political pundits and investors believe Congress will surely do something to prevent disaster, they also agree it might take the threat of a stock market meltdown to bounce it.
read more US teeters on a fiscal cliff edge - Business Analysis & Features - Business - The Independent
The world's biggest economy risks recession unless Congress acts swiftly. Stephen Foley reports from New York
Politicians might be about to voluntarily put the world's largest economy into a double-dip recession.
The US is headed for what economists are calling a "fiscal cliff" at the end of this year, when massive government spending cuts are due to kick in at the same time as a big jump in tax rates. Not since the end of US government war spending in 1945 has there been such a sudden slamming on of the economic brakes. Even the bipartisan Congressional Budget Office (CBO) is sounding the alarm. Unless Congress acts, it says, the barely-recovered US economy will go straight back into recession.
Even though analysts, political pundits and investors believe Congress will surely do something to prevent disaster, they also agree it might take the threat of a stock market meltdown to bounce it.
read more US teeters on a fiscal cliff edge - Business Analysis & Features - Business - The Independent