Topic: Fiscal Cliff

American employees are seeing a 2% increase in payroll taxes following the expiration of a temporary tax cut. Meanwhile, President Obama met with Afghan President Hamid Karzai to discuss the withdrawal of troops. The hosts criticize the President's rhetorical style in his weekly YouTube address, specifically his phrasing regarding ending the war.

The passage of the fiscal cliff deal is described as a "fudged" agreement reached in the early morning hours. The legislation is criticized for failing to address the long-term debt ceiling and budget deficit issues facing the United States.

The hosts play a clip of Ron Paul on CNBC discussing the "fiscal cliff." Paul argues that neither party is serious about cutting spending, describing the government as "drug addicts" looking for another fix of debt and Federal Reserve intervention.

Michelle Obama discussed serving macaroni and cheese during the holidays, momentarily setting aside her "Let's Move" health initiative. The hosts interpret the emphasis on "mac and cheese" as a subtle message preparing the public for economic hardship following the upcoming fiscal cliff.

CBS News and other outlets have begun reporting on a "dairy cliff," warning that milk prices could spike to $8 per gallon if the Farm Bill is not addressed. The hosts dismiss this as a manufactured crisis designed to distract the public from the actual fiscal cliff and debt ceiling negotiations.

H&R Block has issued warnings to clients regarding "Taxmageddon" and the expiration of the Alternative Minimum Tax (AMT) patch. Without legislative action, approximately 30 million taxpayers could see significant tax increases and delayed refunds, with some middle-income households owing thousands of dollars more for the 2012 tax year.

President Obama and the First Lady traveled to Hawaii for vacation despite the ongoing "fiscal cliff" negotiations in Washington. In a weekly address, Michelle Obama referred to the White House holiday theme in the past tense, leading to speculation about her frustration with the political situation. The President defended his time off, citing the heavy workload of his first term.

The "fiscal cliff" poses a significant threat to 30 million Americans due to the scheduled expiration of Alternative Minimum Tax (AMT) patches. If no deal is reached, the AMT exemption threshold will drop significantly, potentially adding thousands of dollars to the tax bills of middle-class households. The hosts argue that both political parties are complicit in allowing this "tax bomb" to remain under-discussed.

John C. Dvorak warns listeners about the impending impact of the Alternative Minimum Tax (AMT) as the U.S. approaches the "fiscal cliff." He explains that many middle-class taxpayers could face unexpected tax bills of $2,000 to $10,000 because the AMT eliminates standard deductions. The hosts criticize the mainstream media for failing to warn the public about this specific financial threat.

John C. Dvorak predicts that the impending death of 94-year-old Nelson Mandela will be used as a massive media distraction. He suggests that news organizations already have "packages" prepared and that the event will be timed to bury news about the U.S. fiscal cliff or the Alternative Minimum Tax. The hosts speculate he may pass away between Christmas and New Year's.

John C. Dvorak explains the "fiscal cliff" and the impending expiration of tax cuts, including the Alternative Minimum Tax (AMT). They debate the nature of the $16 trillion U.S. national debt, noting that much of it is owed to domestic entitlements and the Federal Reserve rather than foreign powers. A clip of Sean Hannity is played, where the Fox News host argues that going over the cliff is a "noble endeavor" to control deficits.

John C. Dvorak plays clips from a Congressional hearing where Senator Jeff Bingaman repeatedly questions economist Kevin Hassett about defaulting on the national debt. Dvorak characterizes the Senator's questioning as "leading the witness," as Hassett consistently denies that defaulting is his position despite the Senator's insistence.

Howard Dean argues that taxes must be raised across the board, not just for the wealthy, to address the U.S. deficit. The hosts interpret the "fiscal cliff" as a manufactured crisis designed to implement austerity measures while allowing politicians to shift blame for the inevitable tax hikes.

President Barack Obama launched a social media campaign using the hashtag #My2k to pressure Congress regarding the fiscal cliff and middle-class tax cuts. The branding is criticized for its phonetic similarity to the Y2K computer glitch, which is characterized here as a historical hoax or scam. The campaign aims to highlight the $2,000 tax increase families might face, but the choice of terminology is mocked as poor messaging by the Curry-Dvorak Consulting Group.

Mark Andre Labelle from Montreal contributed to the show, highlighting the political corruption that led to the resignation of mayors in Montreal and Laval. The segment also touches on a humorous "no agenda" story regarding Canadian Prime Minister Stephen Harper missing a G20 group photo because he was in the restroom. Listeners requested the "Fiscal Cliff" jingle, which features the sound of a man being pushed off a ledge.

The announcement of a ceasefire in Gaza is viewed as a way for Hillary Clinton to exit her role as Secretary of State on a "high note" while distracting from the Benghazi investigation. The hosts argue the conflict served to divert public attention from the "fiscal cliff" and domestic austerity measures in both the U.S. and Israel.

The hosts analyze the impending "fiscal cliff," involving the expiration of Bush-era tax cuts and the onset of sequestration. They play clips of Erskine Bowles and Alan Simpson explaining the potential for a stock market crash and a return to recession. The segment explores how both political parties might view "going over the cliff" as a tactical advantage.

Professional traders on "Fast Money" anticipate a market decline as the "fiscal cliff" approaches. In Austin, Texas, the "Capital Factory" is highlighted as a successful real estate model where angel investors rent out expensive cubicles and desks to startups.

John Dvorak predicts an economic collapse in March 2013, drawing parallels to the panic of 1893. He suggests that the "fiscal cliff" and a lack of cooperation in Washington will trigger a major downturn following Obama's re-election. Adam Curry expresses concern about his own financial stability in Texas if these predictions come true.

A prediction is made that the U.S. stock market will collapse to 6,000 or 9,000 points if the "fiscal cliff" is reached at the end of 2012. The fiscal cliff involves the expiration of payroll tax cuts and the Bush tax cuts, alongside automatic spending cuts to the military. The economic stagnation is attributed to political gridlock over tax hikes for high earners.