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Weekly Economic Commentary

October 21, 2013 - The budget crisis in Washington is over — for now. The 11th hour deal lifts the debt ceiling through February 7, 2014, and funds the government though January 15, 2014, returning furloughed government workers to their jobs. The bill passed both the Senate and the House by a wide margin and on bipartisan support.

But what about early next year — are we going to have to go through the same fiscal fight again? To some extent, the answer is yes; and after all, deadlines have been set and it will be primary season for the mid-term elections. But we think it is unlikely to be a reprise of the brinkmanship and economic disruption that threatened to take the United States to the brink of disaster.

 

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