The Fiscal Cliff: What Does it Mean?

The final countdown towards the “Fiscal Cliff” is winding down as 2012 concludes. But what does it actually mean to you as a taxpayer? In summary, the fiscal cliff can be defined as:

“A combination of expiring tax  cuts  and across-the-board government spending cuts scheduled to become effective Dec.  31, 2012. The idea behind the fiscal cliff was that if the federal government  allowed these two events to proceed as planned, they would have a detrimental  effect on an already shaky economy, perhaps sending it back into an official  recession as it cut household incomes, increased unemployment rates and  undermined consumer and investor confidence. At the same time, it was predicted  that going over the fiscal cliff would significantly reduce the federal budget  deficit.”

Find out more by watching a short video below:

The Fiscal Cliff: What Does it Mean?

*Image used courtesy of Stuart Miles of FreeDigitalPhotos.com

Get In Touch

Share On Social Media

Other Recent Blog Articles

Brian Johnson

June 2020 Market Commentary

June 1, 2020

By Brian Johnson, Viridian Chief Investment Officer and Shareholder June 1st, 2020 Summary:  Markets appear to be decoupled from the economic realities that we face. The bear market in the…

Read More

Replay of our Live Update

April 8, 2020

Please click here to access a replay of our live update from April 8th, 2020 Print Friendly

Read More

Replay of our Coffee Chat

April 3, 2020

To access a replay of our Live Update and Q&A please click here. Print Friendly

Read More