The US may slip into recession if it were to fall off the fiscal cliff at the end of the year, the country's Congressional Budget Office (CBO) has warned.
Ahead of a series of urgent meetings to be held in the US, the CBO has warned politicians if they fail to resolve the fiscal cliff it would knock 3% off GDP, plunging the US back into recession. The CBO's report - which is assessing the damage the end of a series of Bush-era tax cuts would have on the economy - also warned unemployment would rise to 9.1% by the end of next year if nothing was done. Such is the risk posed to the US economy that many commentators expect politicians to come up with a solution to the fiscal cliff before the end of the year. However, there remains a cha...
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