Fiscal Cliff - explain it to me exactly what will happen... | TigerDroppings.com

Posted byMessage
mytigger
USA Fan
Member since Jan 2008
12383 posts

Fiscal Cliff - explain it to me exactly what will happen...



I'd like an explanation of exactly what will happen when we reach this "fiscal cliff". If you can do that without inputting your agenda/slant on it I would be even more appreciative. Thanks.






Back to top
Share:
tdt
Member since Nov 2012
477 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


your taxes will go up, spending on defense and entitlements go down and the economy contracts





Back to top
NaturalBeam
LSU Fan
Member since Sep 2007
13115 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


Likely recession in the short-term. Likely overall economic improvement in the long-term.

I don't think it will happen though - they'll find a way to keep kicking the can down the road.






Back to top
SilverSpurs13
LSU Fan
Baton Rouge, LA
Member since Aug 2011
1031 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


Govt cuts across the board. Taxes go up. Economy goes into recession.





Back to top
  Replies (0)
mytigger
USA Fan
Member since Jan 2008
12383 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


quote:

your taxes will go up


how and why?






Back to top
hawkster
Member since Aug 2010
5044 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


quote:

Likely recession in the short-term. Likely overall economic improvement in the long-term.

I don't think it will happen though - they'll find a way to keep kicking the can down the road.


No matter what happens, the problem will get worse. See "Obama Electoral Demographics".






Back to top
  Replies (0)
mpar98
LSU Fan
Baton Rouge
Member since Jan 2006
4932 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


Bush tax cuts they put into place when he came into office...are set to expire





Back to top
TheOcean
Florida State Fan
Member since Aug 2004
30544 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


We're all fricked.

Signed,

Political Board Experts






Back to top
tdt
Member since Nov 2012
477 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


quote:

how and why?


bush tax cuts expire and so does the payroll tax






Back to top
  Replies (0)
constant cough
LSU Fan
Lafayette
Member since Jun 2007
38181 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


quote:

your taxes will go up, spending on defense and entitlements go down and the economy contracts



Right. Because we can't cut entitlements






Back to top
  Replies (0)
mytigger
USA Fan
Member since Jan 2008
12383 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


I think I can live with this.





Back to top
  Replies (0)
NaturalBeam
LSU Fan
Member since Sep 2007
13115 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


quote:

We're all fricked.

Signed,

Political Board Experts
I've read a lot of people around here who think it will be a good thing, myself included.






Back to top
  Replies (0)
Janky
LSU Fan
Team Primo
Member since Jun 2011
9089 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


quote:

how and why?


All taxes go up income, estate, payroll.....

Also, the pundits think it will knock around 1% off of the GDP. Well, our GDP is only growing around 2%....so you can imagine what that will do.






Back to top
  Replies (0)
Powerman
LSU Fan
Corpus Christi, TX
Member since Jan 2004
120830 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


quote:


I don't think it will happen though - they'll find a way to keep kicking the can down the road.


Probably

Although it might not be a bad idea to wait until the economy is booming to do this

We're barely out of a recession. Not sure it's a great idea to jump right back into one full swing






Back to top
I B Freeman
Member since Oct 2009
5996 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


I would prefer the fiscal cliff happen than not. I do wish the taxes would not rise and the spending was reduced more but that will not happen.





Back to top
NaturalBeam
LSU Fan
Member since Sep 2007
13115 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


quote:

I do wish the taxes would not rise and the spending was reduced more but that will not happen
Me too, but give and take. The Dems are the ones insisting on the tax increases - though I don't think they envisioned their own taxes going up, they just wanted it to be the 1%ers. So let them have exactly what they've been begging for.






Back to top
  Replies (0)
Baloo
LSU Fan
Formerly MDGeaux
Member since Sep 2003
44206 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


When the Bush tax cuts were passed, they were set to expire after 10 years. the tax cuts expire by law. Congress has to pass a bill in order to pass new tax cuts, or renew the old ones.

Additionally, in order to get the debt ceiling passed, Congress and Obama agreed to create the "fiscal cliff" on January 2nd. If the two sides can't agree on deficit reduction by that debt, the cuts trigger automatically on defense and social spending. It's an across the board 9% cut without discretion. Though Congress could always pass a bill and cancel it if they wanted.

anyway, the cuts are supposed to be so unpopular that neither party would swallow them, which is likely truee, which is also why they won't happen. It's an artificial deadline created by Congress which they can simply cancel.

What's likely to happen is that they keep punting the deadline back, and cuts are agreed to in the next session. If Obama has half a brain, he lets all the tax cuts expire and then has his allies on the Hill propose a new tax cut on January 3rd, the day after the tax cuts expired, proposing a "new" middle class tax cut which is just the old one. This forces the GOP to have to vote against a tax cut because they want the tax cut for those making over $250,000 as well. But the Dems clearly want to separate the middle class tax cuts from those on the upper income. Which is as difficult as waiting two months and proposing a bill.







Back to top
Tim
LSU Fan
Texas
Member since Jan 2005
6213 posts
 Online 

re: Fiscal Cliff - explain it to me exactly what will happen...


I highly doubt this "fiscal cliff" scenario will happen. They will make adjustments, raise the debt ceiling, print more money, continue doing the same thing they've always done. No-one from either party has the balls to say "NO". We will keep plodding along until we no longer have the printing or borrowing capacity, at which point, we are screwed as a nation. It will be so far gone at that point that we will make Greece look like a cake-walk.





Back to top
  Replies (0)
SoulGlo
LSU Fan
Shinin' Through
Member since Dec 2011
3642 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


quote:

how and why?


Bush tax rates go to Clinton tax rates. Big tax increase for EVERYBODY.

Military spending will be cut by $500b. Of course, they'll cut weapons R&D, not the bureaucracy.






Back to top
  Replies (0)
tylercsbn9
LSU Fan
Tomball, TX
Member since Feb 2004
55355 posts

re: Fiscal Cliff - explain it to me exactly what will happen...


quote:

your taxes will go up, spending on defense and entitlements go down and the economy contracts


Taxes go up on everyone?

And would their be significant cuts?

If yes to both than bring it on.






Back to top


Back to top