Will this New Year's eve bash cause the world economy to tank? Despite last-ditch talks and a hint of optimism from some quarters over the weekend, the political stalemate between the Democratic White House and Republican dominated House of Representatives continued in Washington this morning. And if nothing changes, the United States will go over the so-called fiscal cliff. What this means for the American and world economy is unknown. How hard will Canada fall if the United States goes over the fiscal cliff?
The Fiscal Cliff and Canada - Alice Rivlin
We started this segment with a clip of U.S. President Barack Obama that was broadcast Sunday on NBC's "Meet the Press." The president said he hoped lawmakers in the United States could agree on a "fiscal cliff" deal before the year-end deadline, but he also outlined his plan of action if that doesn't happen.
To get the latest on the political squabbling and backroom deals, I'm joined by Alice Rivlin
. She is an economist and Senior Fellow at the Brookings Institution. She is also the Founding Director of the Congressional Budget Office and a Member of the National Commission on Fiscal Responsibility and Reform created by President Obama. She joined me from Washington D.C.The Fiscal Cliff and Canada - Paul Ferley
To help us understand what this all means for Canadians, I was joined by Paul Ferley
. He is Assistant Chief Economist at RBC Economics. And he was in Toronto.
The Fiscal Cliff and Canada - Ken Lewenza
My next guest is watching the situation in the U.S. closely. Ken Lewenza
is the President of Canadian Auto Workers union and he was in Windsor, Ontario.
This segment was produced by The Current's
Lara O'Brien and Hassan Santur.Other segments from today's show: