- Published: November 14, 2021
- Updated: November 14, 2021
- University / College: Deakin University
- Language: English
- Downloads: 18
Current situation
The United States fiscal cliff poses the single best threat to increase tax revenues in order to run the government spending. This is due to the refusal by congress to raise the United States government borrowing limits. If not resolved by the end of 2012, the fiscal cliff will come into effect.
Vision
The main vision is to increase the government borrowing limits without increase taxes which will affect many companies and the United States’ citizens. Also to avoid reductions of benefits, contract, and support from the government.
Mission
The mission to avoiding the fiscal cliff is to attain a global economic recovery. This will tip the United States and the global economy into a recession.
Objectives (strategic and financial)
Avoiding the fiscal cliff will be an advantage to the citizens, economy and the government. The main aim is to avert an economic crisis in the United States and provide a healthy business condition for firms and citizens.
Driving force
The main driving force to prevent the fiscal cliff is a responsibility and mandate given to me by the citizens of the United States. I should give the best solution to the people of United States as they expect from me.
Assumptions
A lot of assumptions will have to be made like reducing the expenditure of the branches of government and still retaining the best quality of services to the citizen.
SWOT
The strength of the fiscal cliff will only be gained by averting it and providing another better alternative. On the contrary, it will be a potent weakness if the fiscal cliff comes into effect when unable to stop it. As the fiscal cliff threatens the economy of the United States and the world, it also provides the opportunity for increased government spending for effective service provision.
Analysis of strategic issues
The best strategy is by cutting down all or some of the increased scheduled taxes and spending cuts adding to the deficit. The advantage of this strategy is that it might drive the economy back to recession. The demerit on this strategy is that the debt owned by the United States will continue to grow.
Recommended strategy
. Dealing with the fiscal cliff will have its positive and negative impacts. The fiscal cliff effect will mostly affect the citizen. It will be only wise to guard the citizen first as the better alternative to deal with the fiscal cliff are being determined. ,
Implementation
Implementation of this strategy will be a blow the government spending, which will have to be cut down, but an advantage to the united sates citizens and the economy, as well. It is extremely crucial that people’s interest comes first before the government as the government is only meant to serve its people
