U.S. economy hamstrung by Washington's brinksmanship

COLORADO SPRINGS, Colo. (AP) — Three budget crises ago, in early 2011, Republicans and President Barack Obama faced off over raising the debt ceiling — and Alison Brown saw the writing on the wall.

Washington had entered the cycle of partisan brinksmanship over the budget that has sown confusion among federal agencies and delayed contracts to small companies like Brown's Navsys Corp., which designs satellite navigation systems in this military town. So Brown slashed her 40-strong workforce in half. And as she feared back then, her revenues have since plunged by half.

The latest crisis hit on Friday with across-the-board automatic spending cuts. They total about $85 billion, but the economic damage created by two years of showdowns is far greater. And there's no end in sight: Temporary resolutions funding the government expire on March 27. May brings another debt ceiling standoff.

Story Archived

Only the most recent 7 days of articles are available for free. For articles older than 7 days there is a small fee for retrieval from our archive. If you are a registered member of the site, the content is free just by signing in below.

Please sign in with your Comment Member ID and password.

Did you purchase access?

Member ID:
Password:
Forgot Your Password?
Register to comment.

Purchase Access
To allow for flexibility, we offer a variety of options for purchasing articles:
Purchase options


Having trouble?

If you have any technical difficulties, either with your username and password or with the payment options, please contact us by e-mail at archivedesk@shawmedia.com

Blogs

» Out Here
Out Here

Good or bad? Depends on who you ask

Sometimes readers ask for more good news in the paper. They say we in the media only cover the bad. But one person's positive is another's negative.
» Extra! Extra! - A blog by Chris Heimerman
Extra! Extra! - A blog by Chris Heimerman

My kind of game

I would have gladly paid to take in the game I covered Saturday morning in Morrison.

Reader Poll

Memorial Day weekend heralds the arrival of summer vacation season. How much time do you plan to spend on vacation?

1 week
2 weeks
3 or more weeks
No vacation this year