Friday, August 31, 2012
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Gwinnett Daily Post
ATLANTA (AP) -- The Economic Forecasting Center at Georgia State University predicts the national economy will lag until Congress reaches a long-term agreement on federal taxes and spending. Unemployment, meanwhile, will stay above 8 percent until at least the middle of 2014, according to center's latest quarterly report.
Analysts say the Capitol Hill stalemate makes businesses and individuals reluctant to spend, particularly on big-ticket items. That uncertainty means real GDP growth will continue to slide through at least early 2013, the center said, picking up only after an agreement.
The fear revolves around the so-called fiscal cliff at the end of 2012. That is Congress's self-imposed deadline for a deal. If there is no agreement, a host of automatic tax hikes and spending cuts go into effect before a new Congress convenes.
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Comments
JV 8 months, 3 weeks ago
"An economist is an expert who will know tomorrow why the things he predicted yesterday didn't happen today. "
--Evan Esar
CD 8 months, 3 weeks ago
Listen up BOC--you need to take this seriously and REDUCE SPENDING FURTHER. No more parks, no pork, no more overpriced copier contracts, and no excess labor. If you are not part of the solution then you should be voted out or RIF'd. Period.
Do more with less--then do it again.
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