The latest fiscal cliff is coming again, this time either in December or soon afterwards to a theater near you. A political theater more specifically.
Chances will be far greater that the budget will look a lot more like it does today rather than what it what it would look like if there is no compromise and the fiscal wall is hit. The primary reason for that is that the politicians know full well that while many citizens say today that maybe we need spending cuts that deep in order to fix our fiscal woes, once they spending cuts actually started hitting and people are shorted significant money in the programs that are cut, the instant screams would be so loud they might rival what has happened in Greece.
If that is questioned, simply look at the 99% movement and remember that those protesters weren’t losing any money. If programs such as unemployment insurance, medicare, social security, military programs, highway money, education all took 40% cuts, there is an absolute guarantee that the public’s opinion about the merits of large spending cuts would change very quickly, for the negative.