Obama says letting U.S. taxes rise would hurt world economy

WASHINGTON Wed Nov 28, 2012 3:43pm EST

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WASHINGTON Nov 28 (Reuters) - President Barack Obama said on Wednesday that failure to avoid looming "fiscal cliff" tax increases would reverberate beyond U.S. borders.

"It would be bad for the economy, it would be bad for those families, in fact it would be bad for the world economy," Obama told reporters at the White House as he met with his cabinet.

Obama and congressional leaders are negotiating over how to avoid approximately $600 billion in tax hikes and spending cuts that would begin in 2013 and that analysts say would push the U.S. economy back into recession.

The president has proposed maintaining existing tax rates for all but the top two income tax brackets, but congressional Republicans are opposed to any tax increases.

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Comments (1)
Steve_R wrote:
Obama created the “fiscal cliff” by avoiding the “tough” decisions he said he would make. Now Obama makes a populist appeal that letting taxes rise would hurt the economy when the US is running trillion dollar deficits. Before being elected President Obama even said that deficit spending was a failure in leadership. The US has a failed President.

Nov 28, 2012 4:11pm EST  --  Report as abuse
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