Analysis: Economy would dodge bullet for now under fiscal deal

McConnell departs the senate floor with an aide after a senate vote in the early morning hours at the U.S. Capitol in WashingtonWASHINGTON (Reuters) – A deal worked out by Senate leaders to avoid the "fiscal cliff" was far from any "grand bargain" of deficit reduction measures. But if approved by the House of Representatives, it could help the country steer clear of recession, although enough austerity would remain in place to likely keep the economy growing at a lackluster pace. The Senate approved a last-minute deal early Tuesday morning to scale back $600 billion in scheduled tax hikes and government spending cuts that economists widely agree would tip the economy into recession. …

Obama calls on House to pass fiscal deal "without delay"

WASHINGTON (Reuters) – U.S. President Barack Obama called on Tuesday for the House of Representatives to follow the Senate’s lead and pass a “fiscal cliff” deal to extend tax cuts for middle-class Americans and raise tax rates on top earners. “While neither Democrats nor Republicans got everything they wanted, this agreement is the right thing to do for our country and the House should pass it without delay,” Obama said in a statement after the Senate voted overwhelmingly to approve the legislation. “There’s more work to do to reduce our deficits, and I’m willing to do it. …

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