Spending Some Cuts
Due to the expected snow storm the vote on the stopgap measure, meant to avert a government shutdown, has been pushed up to tomorrow. If there is no deal between Democrats and Republicans tomorrow, the current spending authority will expire on March 27th and further automatic cuts will take effect. The bill being proposed would keep the cuts which came into play on March 1st. The cuts were expected to cause a panic in the market and slow down the recovery. It seems that the markets did not respond this way, because today the Dow Jones Industrial Average closed at 14,253.77 points. This is the highest it has ever been. Its second highest closing point was 14,164.53. It will be interesting to see if this growth in the market continues or if the stresses on Capitol Hill cause another heavy bear to walk down Wall Street. The people in Washington need to step up and do what is right for the country (which is lowering spending). There is no way that America will continue to thrive if the people let the government keep spending the way it does. The fear that more cuts will cause stagnation in the economy is understandable, but allowing the economy to function naturally through the free market is better for our nation in the long run.
Written by: Toma Karamanolev