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Showing posts with the label Fiscal cliff

Fiscal cliff - part 2

Part two of the fiscal cliff. After my previous article on this subject, a small deal was reached and for a short period the American budget was saved. However, the short period (about 2 months) is over and a new deal has not been reached. Therefore, on March 1 the President had to sign into effect budget cuts as the law forced him to do, known as the sequester. Who will be affected? About half the budget cuts concern the military. Some will claim this is a good thing as too much is spend on the army, and indeed this would be great if done in a controlled way but not due to artificial budget cuts as than chaos can erupt. It seems those working for defence contractors are already feeling the effect as some companies are already reducing their workforce. Further, at a moment when it seems the number of conflicts increase the army should be prepared. Although, maybe there will be less interferences in local conflicts and thus people may become less frustrated because of foreign interfer...

Fiscal cliff

President Obama is still hopeful he can reach a deal with the Republicans to avoid the fiscal cliff. I fear he may be too optimistic (although I hope I am wrong). The problem is the Republicans didn't win the presidential elections and are still furious. See how some responded after they lost. A black man from another party, their enemy, won the elections, that while he hardly achieved anything during his first term in office (according to them). They blocked so much that he wanted to do, and still he won (maybe that is why people voted for Mr Obama, because the Republicans were unreasonable when they blocked almost everything from the president). I fear the Republicans may have decided they no longer will make compromises. Many people may think the opposite, that the Republicans will be more willing to work together with the president as their opposition in the past didn't help them. I think they will become even harder and will no longer grant President Obama any "vi...