Saturday, December 1, 2012

Solution to the Fiscal Cliff?

http://www.cnn.com/2012/11/30/opinion/kleinbard-fiscal-cliff/index.html?iid=article_sidebar

In the article above, Edward D Kleinbard analyzes a possible solution to the approaching fiscal cliff. As the cliff approaches, high interest rates and a slowed down economy approach with it. Kleinbard believes that the government must build a ramp from our current taxing and spending policies to a more sustainable mix. We must first get rid of all the Bush tax cuts and other temporary tax discounts. Then we must remove the $1 trillion of new spending cuts that Congress committed to when the budget committee failed. This will allow all taxpayers, poor and rich, to get the benefit of the lower tax brackets on their income. While all this sounds fine and dandy, the question still remains will this actually help sustain the fiscal cliff?

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