Fiscal Cliff Update

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Earlier today I was wondering when the business community would start seriously pressing Republicans to agree to tax increases in order to avoid a new recession caused by either the fiscal cliff or another debt ceiling standoff. Tonight, the New York Times reports that the pressure has started:

A broad swath of the nation’s leading chief executives dropped its opposition to tax increases on the wealthiest Americans on Tuesday, while the White House quietly pressed Wall Street titans for their support as well.

Before Tuesday’s about-face, the Business Roundtable had insisted that the White House extend Bush-era tax cuts to taxpayers of all income brackets, but the executives’ resistance crumbled as pressure builds to find a compromise for the fiscal impasse in Washington before the end of the year. “We recognize that part of the solution has to be tax increases,” David M. Cote, chief executive of Honeywell, said on a conference call with reporters. “That’s the only thing that allows a reasonable compromise to be reached.”

The Business Roundtable isn’t a center-right organization. It’s a pretty central player in movement conservatism. The fact that they’re publicly urging Congress to accept higher revenue—”whether by increasing rates, eliminating deductions, or some combination thereof”—is a significant step.

And the Wall Street Journal reports that there are signs of progress on a deal. They say that Obama has lowered his tax target from $1.6 trillion to $1.4 trillion, while John Boehner has produced a counteroffer that’s slightly different from last week’s proposal. In addition, the White House has put corporate tax reform on the table as an extra bargaining chip.

If I had to bet, I’d bet that we’re not going to see a deal before January 1. But you never know. Once the dam breaks, it’s possible that we could reach agreement pretty quickly.

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SIX TRUTHS

Reclaiming power from those who abuse it often starts with telling the truth. And in "This Is How Authoritarians Get Defeated," MoJo's Monika Bauerlein unpacks six truths to remember during the homestretch of an election where democracy, truth, and decency are on the line.

Truth #1: The chaos is the point.

Truth #2: Team Reality is bigger than it seems.

Truth #3: Facebook owns this.

Truth #4: When we go to work, we're in the fight.

Truth #5: It's about minority rule.

Truth #6: The only thing that can save us is…us.

Please take a moment to see how all these truths add up, because what happens in the weeks and months ahead will reverberate for at least a generation and we better be prepared.

And if you think journalism like Mother Jones'—that calls it like it is, that will never acquiesce to power, that looks where others don't—can help guide us through this historic, high-stakes moment, and you're able to right now, please help us reach our $350,000 goal by October 31 with a donation today. It's all hands on deck for democracy.

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