Fiscal Contraction News Today : Breaking News, Live Updates & Top Stories | Vimarsana

Over 734,000 civilian defense department employees furloughed with a 20% pay cut over the next 22 days. and -- >> that's immediate. >> that's immediate. >> three-quarters of a million people over the next few weeks. >> that's right. they are going to cut become on gas purchases, purchases of clothing for their children, food. this goes directly to the bottom line of growth in this economy, and it's going to be a damper on that growth. >> jared, from an economic perspective, the prescriptions that we have heard like congresswoman kaptur just explained and like the white house has been explainin...

If you can believe that, and it's 2013, we will likely see over 734,000 civilian defense department employees furloughed with a 20% pay cut over the next 22 days. and -- >> that's immediate. >> that's immediate. >> three-quarters of a million people over the next few weeks. >> that's right. they are going to cut become on gas purchases, purchases of clothing for their children, food. this goes directly to the bottom line of growth in this economy, and it's going to be a damper on that growth. >> jared, from an economic perspective, the prescriptions that we have heard like congresswoman kaptur...

Over 734,000 civilian defense department employees furloughed with a 20% pay cut over the next 22 days. and -- >> that's immediate. >> that's immediate. >> three-quarters of a million people over the next few weeks. >> that's right. they are going to cut become on gas purchases, purchases of clothing for their children, food. this goes directly to the bottom line of growth in this economy, and it's going to be a damper on that growth. >> jared, from an economic perspective, the prescriptions that we have heard like congresswoman kaptur just explained and like the white house has been explainin...

Important word here. you said something to the effect of an unnecessary manufactured crisis. remember, this is not the way governance is supposed to look, especially at a time when the economy is already too weak. so instead of thinking about how can we help things get better, they keep setting fiscal time on one after another. and by the way, this is not the beginning of awe strarausterity. we already lost over $100 billion in people's paychecks through the expiration of the payroll tax break this $85 billion in fiscal contraction is on part of that. >> dr. peterson though, it is clear that t...

Because it's such a huge fiscal contraction to all take in one year. so if we go over and stay over, we'll return to recession. and that means that the gains that we've been making on the unemployment rate, too slow, mind you, but gains that have been pushing the rate in the right direction would reverse. and if we stay over the cliff, the unemployment rate could go up as high as 9% by the end of next year. this would be a disaster for people who are still struggling with the residual of the great recession. if you look at middle incomes or paychecks, people are still climbing back. and so all...