Skip to comments.The "fiscal cliff" isn't a cliff at all
Posted on 11/27/2012 4:46:21 AM PST by tobyhill
You're going to be hearing the phrase "fiscal cliff" a lot over the next few weeks: The phrase has emerged as a shorthand way to describe the combination of tax hikes and spending cuts set to start kicking in at the end of the year. Lawmakers are now feverishly negotiating over how to keep many of those spending cuts and tax increases from kicking in - to keep from what is often described as "going off the fiscal cliff."
Yet if no deal comes, the nation won't actually be going over a metaphorical cliff. The word cliff implies an all-or-nothing situation - once you go over a cliff you plummet to earth. There's no going back.
But the situation the nation faces is not like that. The so-called "fiscal cliff," in fact, would be more accurately described as a "gradual fiscal slope." Though that admittedly doesn't have quite the same ring to it.
There are two parts to the so-called fiscal cliff. The first is the scheduled expiration of the tax cuts enacted in 2001 and 2003 under President George W. Bush, the payroll tax holiday enacted under President Obama, and a host of other tax breaks. The second is $1.2 trillion in automatic spending cuts to defense and domestic programs that are looming due to a 2011 deal that resulted from House Republicans' reluctance to raise the debt limit.
(Excerpt) Read more at cbsnews.com ...
In a way, it is more like the austerity we see in Europe.
Liberals are just trying to paint any cuts to spending as doom and gloom.
Bump for later
The problem is that much of the cuts are in Defense.
The other thing we should do is decline to raise the debt ceiling. Let’s just get off of this deficit spending ride. The sooner the better.
It sucks to be broke.
The cuts are coming to defense, one way or the other. If we default, the cuts will be a lot bigger than these.
Probaby. But defense is one of the legitimate responsibilities of Government. It will be sacrificed to pay for things like healthcare, welfare, etc. And the fact that the Defense industry disproportionately employs conservatives is just a bigger bonus for the Left.
Probably. But defense is one of the legitimate responsibilities of Government. It will be sacrificed to pay for things like healthcare, welfare, etc. And the fact that the Defense industry disproportionately employs conservatives is just a bigger bonus for the Left.
House and Senate Republicans need to stand their ground if the Democrats will not negotiate in good faith.
Not only over the “fiscal cliff,” but also no further increases in the debt limit.
Unnecessary, painful, very painful, but at least good first moves in the right direction.
Nothing "gradual" about the landing to come...what difference if you hit ground at 80 vs. 120?
” - - - say the combination of spending cuts and tax hikes that are set to take effect would tip the economy into a new recession. - - - “
Even though this will be a NEW recession, will it STILL be Bush’s Fault?