Not that the spending cuts won't hurt many workers and consumers. And the longer the cuts are in place, the more they will slow growth, depress hiring and keep unemployment stranded at high levels.If the automatic spending cuts aren't reversed, they would reduce economic growth in 2013 to 2 percent from 2.6 percent, wipe out 700,000 jobs and keep unemployment at 7.4 percent or higher through 2014, according to calculations by Macroeconomic Advisers, a forecasting firm.
A Sturdier US Economy Can Withstand Budget Cuts
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts