Former Congressional Budget Office (CBO) and White House officials evaluated the “fiscal cliff” legislation passed by Congress on January 1, 2013. David Marron talked about the tax elements of the bill, including alternative minimum, estate, and tax cuts from the George W. Bush administration. Robert Reichauser and Rudolph Penner in their assessments were pessimistic about what was in the bill and the prospects for the budget process in the 113th Congress. The program included questions from audience members.
“Fiscal cliff” referred to the impending tax increases and sequestration budget cuts at the end of 2012 if Congress failed to reach a new budget agreement.*"Sequestration," a legal procedure in which automatic budget cuts are triggered, was agreed to in the Budget Control Act of 2011.