Fiscal Cliff: who pulls the trigger?

"We will make the end of California", said Mitt Romney a few days ago, an end considered even worse than Italy or Greece.
If America is likely to fall into an abyss tax, the so-called fiscal cliff, California has now reached the bottom of the cliff: three municipalities have filed for bankruptcy this year and as expected many others will do the same end. The deficit traveling on $ 16 billion despite other 8.2 billion this year have been cut in social spending, employee salaries and prisons, and another 6 billion will be pruned from the budget for schools and universities, including Berkeley and UCLA.

Obama and Romney have different recipes on how to resolve the impasse deficits.
Romney believes that further cuts in tax rates (around 20%) could stimulate the growth and close the deficit through increased tax base, while Obama wants to increase the tax burden on incomes above $ 250,000.
To win Romney or Obama, however, one thing is certain: the public spending cuts are inevitable and so heavy as to change the social policy of the nation, and the example of California shows.

To know more of it: http://www.cfr.org/economics/fiscal-cliff/p28757

Fabrizio Creston