While falling off the “fiscal cliff” (of automatic spending cuts and tax increases if Congress fails to act) could hurt the economy, expert William Gale says the actual result, if coupled with a temporary economic stimulus, would be greater incentives to make a better long-term budget deal.
Economic Indicators
u* = √uv: The full-employment rate of unemployment in the United States
Commentary
Podcast@ Brookings Podcast: Combine Going Over the Fiscal Cliff with a Stimulus
July 27, 2012