Economists tell us that in order to correct the federal government revenue/spending imbalance, we will either have to raise taxes or have no-growth or a declining economy... which is then used to justify spending even more. Debt is a problem for the next generation. We need to keep up appearances of prosperity.
A small taste of the impact of reduced spending appeared in the 4th quarter of 2012 as defense spending and corporate inventories shrank [companies produced from their inventories without adequate replacement] resulting in a Gross Domestic Product decrease of 0.1% from the previous quarter. That's hardly reason for panic, but it does tell us that without excessive borrowing, economic measures will look anemic.
GDP contracts on tepid inventories, government spending drop.
The question is whether that is a bad thing.
But a drop in CO2.Sequestration Cuts Will Lead to Floods, Plagues, and Pestilence...
..