Debate Over Automatic Spending Cuts

The U.S. Capitol, Washington, D.C. - Image used under Creative Commons from Flickr user Steel Wool

The U.S. Capitol, Washington, D.C.

Image used under Creative Commons from Flickr user Steel Wool

Debate Over Automatic Spending Cuts

The White House says it's preparing federal agencies for possible year-end mandated spending cuts. Debate over how sequestration could affect the government, military and economy.

By most accounts, the U. S. is headed for a fiscal cliff at the end of this year. Congress is at loggerheads over Bush-era tax cuts which are due to expire December 31st. Then there’s sequestration – mandatory across-the-board budget cuts slated for January 2nd -- the result of a bipartisan deal passed last year. The combined effects of these events could be disastrous. Members of both parties worry automatic defense cuts could jeopardize the military. Sequestration might also slash funds for education, infrastructure, head start, and food safety. Diane and her guests discuss the debate over automatic spending cuts.

Guests

Jared Bernstein

senior fellow at the Center on Budget and Policy Priorities, and former chief economist and economic policy adviser for Vice President Joe Biden.

Mackenzie Eaglen

research fellow at the American Enterprise Institute’s Marilyn Ware Center for Security Studies.

David Welna

congressional correspondent for NPR.

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