The budget has been an ongoing divisive debate in which all parties recognize deficit reduction is the 'right thing' yet insist on dragging the country through the ringer of all other options before the inevitable is enacted. As we approach Jan. 1, 2013, the delayed date of infamy when all the 'solutions' Congress has put forth to address the deficit are due to finally take effect, it is unclear how the Congress will act. If precedent holds, Congress will likely be dragged there kicking and screaming.
An interesting article from Investment Week looks at how America's Congress has fought tooth and nail over the last several years to avoid addressing the nations ever growing deficit. The article cites the deficits growth from 3.2% of GDP in 2008 to 8.7% of GDP in 2011. Nonetheless, the British news outlet has faith that we will make it -- begrudgingly -- out of our current economic state. Quoting Winston Churchill in saying "Americans always do the right thing – after they have tried everything."
Regardless of if Obama wins in November, he may still face a lame-duck session if Republican gain control of both houses in Congress. Perhaps divided government is just part of our American political system. However, at a time when so much is at stake and our nation is crying out for an efficient and effective federal government, such continued division and gridlock may prove disastrous. All we can hope for is that Churchill holds true and that we manage to try out "everything" sooner rather than later.