Dec 31 2012 10:27 AM
- it forces the govt to contains the expense.
- it forces the govt to increase the revenue from taxes.
- it is creating uncertainty in the financial markets so stocks and options are taking hit.
- due to uncertainty business are not ready to spend because business don't spend unless they are very clear about the direction of economy.
- if no agreement reached in next 24 hours it will have major impact on US economy and could cause recession.