The Sequester And Implications On The Economy
The debate over the upcoming sequester is gaining much more traction as we rapidly approach the impact date as spending is automatically cut in defense and other discretionary areas. President Obama has been very vocal as of late that if the Republican Congress does not back off of their conservative stance and nullify the sequester that the economy will take a massive hit, public workers will lose their jobs, public healthcare will be unavailable and the economy will sink into a recession. While there will definitely be an impact to the economy due to lower future government spending it will not be as dire as the President has made it out to be.
As a side note it is important to remember that the sequester was part of the 2011 Budget Control Act in 2011. It was a trigger designed, and agreed to, by President Obama himself to get the debt ceiling raised in 2011 without having to give into spending cuts. He thought then that he would be able to avoid the sequester in the future by gaining control of the House during the last election cycle. Unfortunately, that failed to occur and his invention has now come back to haunt him.
In the video I discuss the implications of the sequester on the economy and what it really means.Houston weather, traffic, news | FOX 26 | MyFoxHouston