While panelists at the Information Management Network‘s ABS East session “Identifying the Major Global Macro-Economic Risks to the U.S. Securitization Market” rattled off a number of harrowing scenarios, the fiscal cliff facing our government at the end of the year was probably the most chilling.
John Ryding, the chief economist and founding partner at RDQ Economics, said that if nothing is done and the tax cuts that are scheduled to expire do so, the economy would tip back into a recession. “It’s a tax hike on an economy growing less than 2%,” he added.