Even though we've had about three years to prepare for the fiscal cliff, now that it's about a month away, the financial cut off is a hot topic.
The Denver post reports the financial cliff could possibly cause Colorado to lose 2 billion dollars in revenue and federal funds.
The seemingly fragile U.S. economy is set to turn into a pumpkin by midnight of December 31st unless a deal is reached.
Taxes would go up on almost every American and deep spending cuts would automatically kick in.
With the potential for dramatic fiscal changes on the way, it's hard to imagine how our local economy would remain safe.
Business Owner, Mike Allen said, “The only reason I'm worried is because of the perception right now and peoples spending habits especially in local business. so everybody is just kind of holding on to their money you know, instead of going out and stimulating the economy there having the exact opposite effect, and just kind of drawing back, which hurts local businesses."
The U.S. economy has about $600 billion in tax increases and spending cuts, unless Washington chooses to avoid it.
With 16 trillion dollars in debt, some people actually think the country needs to stumble over the cliff in order to gain financial discipline.
The congressional budget office estimates that if congress extends the bush-era tax cuts and cancels the automatic spending cuts.
The short term result may actually be slight growth and not a major economic hit.