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Goldman's "Fiscal Cliff" Scenarios

Published 05/27/2012, 12:22 AM
Updated 07/09/2023, 06:31 AM
As discussed

CNBC








  • Expiring 2001 and 2003 Bush era tax cuts will be extended again (this is probably the most controversial assumption).
  • The "sequester" (which kicks in because the Supercommittee was unable to reach an agreement) required cuts in discretionary spending are delayed past 2013. It would likely be replaced with longer-term spending cuts.
  • Unemployment benefits will be phased down gradually after the end of 2012, rather than expire on schedule. 
  • The payroll tax cut would in fact expire.
  • Reductions in federal spending that are already in play will start taking effect.


described here



Effect of Fiscal Cliff

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