Posts Tagged ‘States’

Most people seemed to agree that the narrowly avoided government shutdown would have hurt the economy. But the question is whether the budget deal struck to avert the shutdown will hurt the economy more than if Washington had just turned off the lights?

The budget deal struck by President Obama and John Boehner and other Republicans over the weekend will cut $38.5 billion from government spending in the next year. Generally, when the government spends less that slows the economy, just like when consumers or companies spend less. That was afterall the reason many people thought a government shutdown, which would have temporarily slashed government spending and furloughed 800,000 government workers, would have hurt the economy. (more…)

Washington (CNN) — The odds of a government shutdown appeared to grow Wednesday as expected face-to-face budget talks between President Barack Obama, House Speaker John Boehner and other top officials were not scheduled.

After meeting with the Republican speaker on Tuesday, Obama declared that he expected negotiators to return to the White House for further talks Wednesday.
And “if that doesn’t work, we’ll invite them again the day after that,” he vowed. “There’s no reason why we should not get this done.”
Obama is scheduled to depart Washington for unrelated events in Pennsylvania and New York shortly after noon Wednesday.
One White House official said it was still possible for a meeting to be scheduled. (more…)