WASHINGTON (September 14, 2012)--A White House report Friday warns that $110 billion in across-the-board spending cuts at the start of the new year would be "deeply destructive" to the military and core government responsibilities like patrolling U.S. borders and air traffic control.
The Obama administration says the automatic cuts, mandated by the failure of last year's congressional deficit "supercommittee" to strike a deal, would require an across-the-board cut of 9 percent to most Pentagon programs and an 8 percent cut to many domestic programs.
Those, combined with the expiration of Bush-era tax cuts at the end of this year, represent a "fiscal cliff" for the country, according to economists warn that the one-two punch could drive the economy back into recession.