Balanced mix of reforms needed: Geithner

NEW YORK Wed Jul 18, 2012 9:23am EDT

U.S. Treasury Secretary Timothy Geithner speaks at the Council on Foreign Relations (CFR) discussion on the state of the global economy and the U.S. recovery in advance of the G-20 Summit, in Washington June 13, 2012. REUTERS/Yuri Gripas

U.S. Treasury Secretary Timothy Geithner speaks at the Council on Foreign Relations (CFR) discussion on the state of the global economy and the U.S. recovery in advance of the G-20 Summit, in Washington June 13, 2012.

Credit: Reuters/Yuri Gripas

NEW YORK (Reuters) - The uncertainty surrounding the tax raises and spending cuts set to go into effect next year poses a significant risk, Treasury Secretary Timothy Geithner said on Wednesday.

A balanced mix of reforms is needed for the United States to dig out of a "fiscal hole", Geithner said during an interview with CNBC at the CNBC Institutional Investor Delivering Alpha conference.

The U.S. economy is facing $4 trillion worth of expiring tax cuts and automatic government spending reductions, dubbed the "fiscal cliff", and most analysts do not expect Congress to act to soften the blow until after the congressional and presidential elections in November.

(Reporting by Jonathan Spicer, Leah Schnurr and Svea Herbst-Bayliss; Editing by James Dalgleish)

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Comments (2)
Josorr wrote:
I’d say we need fewer politicians and more statesmen. So how do we make that happen?

Jul 18, 2012 10:44am EDT  --  Report as abuse
chiled28 wrote:
Keeping this corrupt bought and paid for person on as Treasury Secretary is as big of a risk as any of those things mentioned.

Jul 19, 2012 8:35am EDT  --  Report as abuse
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

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