What exactly is a 'fiscal cliff'???
There’s been a lot of talk lately about what’s known as the “fiscal cliff,” and a lot of Americans may be wondering what exactly that is, or how exactly they would be affected. Well, if there’s one thing you can count on it’s that most taxpayers in this country will be affected if a number of laws remain unchanged after December 31.
Essentially, the fiscal cliff is a package of tax increases and spending cuts that would take effect in January unless Congress passes a budget deal before then. Going over the cliff would result in a slowdown in economic growth due to a reduction in spending by consumers and the government. Economists say the results could be devastating, possibly sending the economy into recession during the first part of next year.
Essentially, the fiscal cliff is a package of tax increases and spending cuts that would take effect in January unless Congress passes a budget deal before then. Going over the cliff would result in a slowdown in economic growth due to a reduction in spending by consumers and the government. Economists say the results could be devastating, possibly sending the economy into recession during the first part of next year.
