Editorial: DC work must get doneThere’s been a lot of talk over the last few weeks about what’s been deemed as the “fiscal cliff.”
By: Daily Globe, Worthington Daily Globe
There’s been a lot of talk over the last few weeks about what’s been deemed as the “fiscal cliff.” Many debate the importance of a deal on the federal debt this month, with some taking the political position that the U.S. should, in essence, go off the cliff.
With Wednesday’s announcement of a $1.1 billion Minnesota budget deficit, state officials also made it clear that a lack of an accord in Washington would have dire consequences here at home.
State Economist Tom Stinson outlined Wednesday some of the specifics that would result without a deal. He told The Associated Press that 115,000 jobs would be lost in 2013-2014, personal income would drop 4 percent by 2015 and state tax revenue would shrink by hundreds of millions of dollars.
“The fiscal cliff is ultimate gloom,” Stinson was quoted as saying.
Added Jim Schowalter, director of Minnesota Management and Budget, to AP: “We are making slow progress gaining jobs and economic momentum. But the trouble is it’s wrapped in a cloud of uncertainty to the federal fiscal cliff.”
Minnesota Gov. Mark Dayton suggested Wednesday that he believes a federal deal will ultimately be reached in time. Still, recent news out of Washington has not exactly delivered hope, as there have been no formal negotiations. People there best get busy — and fast.