How to Shop Target Like a Pro










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cb458  970x645 How to Shop Target Like a ProIllustration by Joseph Lambert for Bloomberg Businessweek

The company’s slogan is “design for all,” but when it comes to the stores, it’s more like design for maximum profit.













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Canadian job creation seen sharply lower in December






OTTAWA (Reuters) – Canada‘s job market is expected to slow markedly in December to reflect the sluggish economy and employers’ fears about the U.S. fiscal crisis following outsized gains of over 50,000 jobs in two of the previous three months.


The median forecast in a Reuters poll is for the economy to add just 5,000 jobs in the month, with forecasts ranging from a loss of 20,000 positions to a gain of 21,000.






The forecast compares with employment growth of 59,600 in November, 1,800 in October and 52,100 in September.


The unemployment rate is seen ticking higher in the final month of the year to 7.3 percent from 7.2 percent.


Derek Holt, vice president of economics at Scotiabank, said he’s been surprised by the strength of job growth which he estimates to be the equivalent in the United States of about 1.5 million non-farm payroll jobs over the last three months.


“Here we are with the conundrum where we have zero growth in the Canadian economy, long predating the appearance of the greatest fiscal-cliff risks and yet we’re heaping on jobs like there’s no tomorrow,” Holt said.


Unlike the United States, Canada has long recovered all the jobs lost during the 2008-09 recession but the pace of hiring in 2012 was unsteady.


Benjamin Reitzes, economist at BMO Capital Markets, said if the 5,000-job forecast was accurate, it would put 2012 job growth at just 1.1 percent, “the weakest non-recession year since 1996.”


Canadian employers have faced uncertainty in one form or another during the recovery and are now fretting about the U.S. fiscal cliff, a set of tax hikes and spending cuts that will automatically take effect and could throw the United States into recession unless the White House and Congress reach an alternative agreement.


“For as long as Washington cannot agree on the new tax rules and spending focus, they’re not going to give business the confidence to go out and hire and engage in capital spending projects and that’s going to impede the pace of recovery until we get more clarity,” said Holt.


With the Canadian economy now expected to grow by far less in the fourth quarter than the Bank of Canada‘s projection of 2.5 percent, annualized, the blockbuster jobs growth of recent months looks suspect. The six-month trend shows more sustainable gains of about 21,000 a month.


The moderation means the Bank of Canada will be in no hurry to raise its benchmark interest rate, which it has held at 1.0 percent since September 2010.


Market players surveyed by Reuters in late November predicted the bank would resume hiking rates in the fourth quarter of 2013.


(Reporting by Louise Egan; Editing by Kenneth Barry)


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What to Do With Your New Android






So you got a shiny new Android for Christmas? Before showing it off to all your Apple-loving friends, the device should be fully optimized at the start. Taking a couple measures ahead of time will make for a better experience later.


If you’re a brand new Android owner, the phone’s operating system is likely Jelly Bean or Ice Cream Sandwich. You shouldn’t have to upgrade anything, but there might be newer versions of built-in apps. (We’ll get to that later.)






You’ll have to set up a Google account, which should be fairly easy if you already use Gmail. If you’re completely new to Google, consider a couple things before even setting up your phone.


SEE ALSO: Top 20 Things Every First-Time Android User Should Know

[More from Mashable: Facebook in 2013: More Growing Pains Ahead]


Switching from an older Android requires a bit more prep, but it’s not impossible. Once you have a Google account, simply log in and sync accounts to receive your email and contacts. Some of your data, like photos and apps, will not transfer as easily, but there are a few ways to get around that.


The easiest way is to purchase the MyBackup Pro app. It’ll cost you $ 4, but the app backs up data and restores it to a new device.


If you’d rather start with a clean slate, without losing old photos, store all of your data in the cloud. Apps like Dropbox will back up data, but you can manually restore specific items to the new device.


Apps will need to be re-downloaded manually on a new device. Any apps purchased on a former Android will not need to be purchased again, but you will have to download those again, too.


Get Connected


The first thing to do before playing around with your new phone is to set up a Wi-Fi connection.


Hit the Menu button, and choose Settings. Then select Wireless & Networks and connect to the proper Wi-Fi as you would anywhere with a computer.


You’ll also have the option to connect to mobile networks — those settings can be found in the same menu. Your phone runs on 3G or 4G mobile networks when there is not a Wi-Fi connection.


It’s important to connect your phone to Wi-Fi when it’s available, because running on mobile networks uses data. Each download will cost data, which can quickly run over when you first get a new phone and want to try new apps. Running over on data can be very expensive.


Apps on Apps on Apps


Now that you’re up and running, it’s time to dive into the Google Play Store and get the apps that will make your life easier and more efficient.


There are so many apps for every aspect of your life. It depends on whether you want something entertaining, educational, fun, informative, creative or navigational. Sifting through apps can feel overwhelming — trial and error is the best way to approach the task. You can always uninstall an app if you don’t want it.


If you plan on purchasing anything, you’ll need a credit card. Your information will be stored securely, so you’ll only need to enter this once. But that doesn’t mean you have to spend money — there are plenty of free apps that will help you just as effectively.


Your phone will already have built-in apps, which differ with every manufacturer. These are likely due for an update before you even log into the new device. You can update them all at once by opening the Play Store, tapping the Menu button and selecting “My Apps.”


The Google Play Store can be accessed and adjusted from your phone or a desktop when logged into your Google account. You can install, update or remove any app from your phone via the store.


Google’s native apps should already be built in the device. If you can’t function without these tools — which is likely why you went with Android — you won’t be disappointed with the mobile versions.


If you juggle more than one email address, Gmail will access multiple accounts in one device.


Google Maps is a seamless GPS system, plus the updated app gives offline maps, indoor navigation and recommendations for nearby places.


Zappos


Free


Click here to view this gallery.


Social


Facebook’s native app favors Android devices. The app closely mirrors what you’d see on a desktop, making it easy to navigate. Like any other app, it has pre-fixed settings, so you might need to adjust, depending on your preferences.


After downloading and logging in to your account, hit the Menu button and select Settings. If you don’t want to use Facebook Chat from your phone, make sure Chat Availability is off. You can also adjust notifications so they only push the updates most important to you.


If you choose to sync your Facebook friends, they will automatically appear in your contact list if they share their phone number. When you agree to use the Facebook app, it shows your phone number on your profile. If you don’t want to share your number with friends, be sure to edit your contact info so that information is only available to you. The easiest way to do so is from a desktop.


Setup for Twitter is pretty straightforward. You can adjust syncing and push notifications, just like you did for Facebook, by going to Settings from the Menu button.


There are a couple options for Twitter aside from the native app. If you’re a list person, TweetDeck or Hootsuite might be better experiences.


If there is one good thing about Google+, it’s the syncing features that come with an Android device. If you don’t use the network as a social place, it can function as an automatic storage space. For example, if you take a photo with your phone, it will save to your Google+ account, even if you delete the photo from your device.


Of course, there are plenty of other social networks, so test them out and judge for yourself. If you don’t like one (or any app, for that matter) you can always uninstall it from the Google Play Store, just as you would update it.


Music


Your new Android replaces the need to carry multiple devices, including an MP3 player. If you’re gung-ho Google, the native Music app stores all of your files in the cloud, so you can easily switch from device to computer.


There is no native iTunes app, but that’s nothing a little hack can’t work around. DoubleTwist is worth the $ 5 pricetag if you cannot live without your iPod. Also, your iTunes library syncs over Wi-Fi — no wires required.


There are other great apps for music lovers on the go. Spotify is the best service for sharing and discovering music. You can send friends songs, albums and playlists. The free service features a nearly limitless music library, or you can upgrade to premium for an unlimited, ad-free experience.


Are you and Android user? Share any advice for first-timers in the comments below.


Images courtesy of iStockphoto, by_nicholas, Flickr, JD Hancock


This story originally published on Mashable here.



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Kanye West, Kim Kardashian expecting baby: reports






(Reuters) – Rapper Kanye West and reality TV star Kim Kardashian are expecting their first child, celebrity media outlets reported on Monday.


Fans and family took to Twitter to congratulate the celebrity power couple.






“Been wanting to shout from the rooftops with joy and now I can!” wrote Kardashian’s sister Kourtney. “Another angel to welcome to our family. Overwhelmed with excitement!”


According to E! News, West, 35, announced the news from the stage at a concert in Atlantic City on Sunday.


Kardashian, 32, who rose to fame five years ago for her appearances in reality TV show “Keeping Up with the Kardashians”, was the most-searched person on the Yahoo! website in 2012.


She married basketball player Kris Humphries in August, 2011, in a lavish, made-for-TV wedding, but the couple divorced just 72 days later.


(Editing by Paul Casciato)


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Vomiting Larry battles “Ferrari of the virus world”






LONDON (Reuters) – Poor Larry isn’t looking too good. He’s pale and clammy and he’s been projectile vomiting over and over again while his carers just stand by and watch.


Yet their lack of concern for Larry is made up for by their intense interest in how far splashes of his vomit can fly, and how effectively they evade attempts to clean them up.






Larry is a “humanoid simulated vomiting system” designed to help scientists analyze contagion. And like millions around the world right now, he’s struggling with norovirus – a disease one British expert describes as “the Ferrari of the virus world”.


“Norovirus is one of the most infectious viruses of man,” said Ian Goodfellow, a professor of virology at the department of pathology at Britain‘s University of Cambridge, who has been studying noroviruses for 10 years.


“It takes fewer than 20 virus particles to infect someone. So each droplet of vomit or gram of feces from an infected person can contain enough virus to infect more than 100,000 people.”


Norovirus is hitting hard this year – and earlier too.


In Britain so far this season, more than a million people are thought to have suffered the violent vomiting and diarrhea it can bring. The Health Protection Agency (HPA) said this high rate of infection relatively early in the winter mirrors trends seen in Japan and Europe.


“In Australia the norovirus season also peaks during the winter, but this season it has gone on longer than usual and they are seeing cases into their summer,” it said in a statement.


In the United States, the Centers for Disease Control and Prevention (CDC) say norovirus causes 21 million illnesses annually. Of those who get the virus, some 70,000 require hospitalization and around 800 die each year.


PROFUSE AND PROJECTILE


Norovirus dates back more than 40 years and takes its name from the U.S. city of Norwalk, Ohio, where there was an outbreak of acute gastroenteritis in school children in November 1968.


Symptoms include a sudden onset of vomiting, which can be projectile, and diarrhea, which may be profuse and watery. Some victims also suffer fevers, headaches and stomach cramps.


John Harris, an expert on the virus at Britain’s HPA, puts it simply: “Norovirus is very contagious and very unpleasant.”


What makes this such a formidable enemy is its ability to evade death from cleaning and to survive long periods outside a human host. Scientists have found norovirus can remain alive and well for 12 hours on hard surfaces and up to 12 days on contaminated fabrics such as carpets and upholstery. In still water, it can survive for months, maybe even years.


At the Health and Safety Laboratory in Derbyshire, northern England, where researcher Catherine Makison developed the humanoid simulated vomiting system and nicknamed him “Vomiting Larry”, scientists analyzing his reach found that small droplets of sick can spread over three meters.


“The dramatic nature of the vomiting episodes produces a lot of aerosolized vomit, much of which is invisible to the naked eye,” Goodfellow told Reuters.


Larry’s projections were easy to spot because he had been primed with a “vomitus substitute”, scientists explain, which included a fluorescent marker to help distinguish even small splashes – but they would not be at all easily visible under standard white hospital lighting.


Add the fact that norovirus is particularly resistant to normal household disinfectants and even alcohol hand gels, and it’s little wonder the sickness wreaks such havoc in hospitals, schools, nursing homes, cruise ships and hotels.


During the two weeks up to December 23, there were 70 hospital outbreaks of norovirus reported in Britain, and last week a cruise ship that sails between New York and Britain’s Southampton docked in the Caribbean with about 200 people on board suffering suspected norovirus.


MOVING TARGET


The good news, for some, is that not everyone appears to be equally susceptible to norovirus infection. According to Goodfellow, around 20 percent of Europeans have a mutation in a gene called FUT2 that makes them resistant.


For the rest the only likely good news will have to wait for the results of trials of a potential norovirus vaccine developed by U.S. drugmaker LigoCyte Pharmaceuticals Inc, or from one of several research teams around the world working on possible new antiviral drugs to treat the infection.


Early tests in 2011 indicated that around half of people vaccinated with the experimental shot, now owned by Japan’s Takeda Pharmaceutical Co, were protected from symptomatic norovirus infection.


The bad news, virologists say, is that the virus changes constantly, making it a moving target for drug developers. There is also evidence that humans’ immune response to infection is short-lived, so people can become re-infected by the same virus within just a year or two.


“There are many strains, and the virus changes very rapidly – it undergoes something virologists call genetic drift,” Harris said in a telephone interview. “When it makes copies of itself, it makes mistakes in those copies – so each time you encounter the virus you may be encountering a slightly different one.”


This means that even if a vaccine were to be fully developed – still a big ‘if’ – it would probably need to be tweaked and repeated in a slightly different formula each year to prevent people getting sick.


Until any effective drugs or vaccines are developed, experts reckon that like the common cold, norovirus will be an unwelcome guest for many winters to come. Their advice is to stay away from anyone with the virus, and use soap and water liberally.


“One of the reasons norovirus spreads so fast is that the majority of people don’t wash their hands for long enough,” said Goodfellow. “We’d suggest people count to 15 while washing their hands and ensure their hands are dried completely.”


(Reporting by Kate Kelland; Editing by Will Waterman)


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China to keep prudent monetary policy in 2013: central bank






BEIJING (Reuters) – China will stick to a prudent monetary policy next year and keep consumer prices stable, its outgoing central bank governor, Zhou Xiaochuan, said on Monday, in fresh sign that Beijing won’t be changing direction when the new government takes over in 2013.


Reiterating China’s long-stated vow to reduce the level of central planning in its economy and make room for more market forces, Zhou also said China will deepen reforms in its financial sector in 2013.






“In 2013, we will continue to implement prudent monetary policy and make policies more pre-emptive, targeted and flexible,” Zhou said in a brief new year address.


“We will keep overall price levels basically stable and promote healthy and sustainable growth of the economy,” he said. “We will also further deepen financial reforms and the opening up of financial markets.”


Zhou’s remarks follows similar comments from China’s soon-to-be-retired president, Hu Jintao, who promised that reform of China’s economic growth model would be a crucial theme next year.


Hu said in a separate new year address broadcast nationally that China’s economy will grow at a balanced and sustainable pace in 2013, whilst noting the challenge from sluggish growth for the world economy.


“Transforming the economic growth model will be a main theme,” Hu said, without giving further details. “The trend of weak global economic growth will continue.”


China’s leaders have repeatedly promised to encourage domestic consumption and reduce the nation’s heavy reliance on exports for growth, a task that has become more pressing due to expectations of prolonged weak demand in developed nations.


Most analysts and academics agree China needs to transform its growth model to allow consumption, not exports and investment, to drive activity.


But there is no clear agreement on how or when China can pursue such changes.


Zhou, who has been head of the central bank since 2003, is set to retire in coming months.


Hu will relinquish office March 5 when China starts its annual parliament meeting, to make room for his successor Xi Jinping.


(Reporting by Aileen Wang and Koh Gui Qing; editing by Jonathan Standing)


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Suspected US drone kills 3 al-Qaida men in Yemen






SANAA, Yemen (AP) — Three al-Qaida militants were killed in a suspected U.S. drone strike in southern Yemen, Yemeni security officials said, the fourth such attack this week and a sign attacks from unmanned aircraft are on the upswing in the country.


The officials said the three men were hit as they were riding in a Land Cruiser in el-Manaseh village on the outskirts of Radda in Bayda province. Dozens of local al-Qaida-linked fighters protested the drone strikes after traditional Islamic Friday prayers.






Earlier this week another suspected U.S. drone strike killed two militants in Radda itself, Yemeni security officials say, and seven were killed in two other strikes in the southeastern province of Hadramawt. Four suspected drone strikes a week is uncommon in Yemen.


According to statistics gathered by the Long War Journal before Saturday’s attacks, the United States “is known to have carried out 41 airstrikes” this year against al-Qaida in the Arabian Peninsula (AQAP), as the group’s branch in Yemen is known. That makes for an average of around three to four strikes per month.


The Journal, a product of the Foundation for Defense of Democracies that was founded by former U.S. officials, says that since December 2009, the CIA and the US military’s Joint Special Operations Command are known to have conducted at least 54 air and missile strikes inside Yemen, excluding Saturday’s suspected attack.


AQAP overran entire towns and villages — including Radda — last year by taking advantage of a security lapse during nationwide protests that eventually ousted the country’s longtime ruler. Backed by the U.S. military, Yemen’s army was able to regain control of the southern region but al-Qaida militants continue to launch deadly attacks on security forces that have killed hundreds.


Also on Saturday, two gunmen on a motorbike shot and killed an intelligence officer in the southeast, security officials said. They said that the officer, Mutea Baqutian, was on his way to work in Mukalla, capital of Hadramawt province, when the men stopped his car, gunned him down, and fled.


The government has blamed al-Qaida militants for similar assassinations of several senior military and intelligence officials this year. The bullet-riddled body of Major al-Numeiry Abdo al-Oudi, deputy director of the security department of al-Qitten in Hadramawt, was found in the town’s suburbs last week. He had been kidnapped earlier in the month.


All officials spoke on condition of anonymity according to regulations.


Meanwhile, Maj. Gen. Ahmed Seif, who is commander of Yemen’s central military region, said the Defense Ministry has deployed an infantry brigade in the northeastern province of Marib to stop armed tribesmen who maintain cordial ties with al-Qaida from attacking oil pipelines and power generating stations, as well as to counter al-Qaida militants.


State TV meanwhile aired a meeting between President Abed Rabbo Mansour Hadi and eight Yemeni sailors who were rescued last week by forces of Somalia’s semiautonomous Puntland region after being held for nearly three years by Somali pirates.


The Puntland government says that its forces captured the hijacked Panama-flagged MV Iceberg 1 on Sunday after a siege that lasted two weeks. They freed the eight Yemeni sailors together with five Indians, two Pakistanis, four Ghanaians, two Sudanese and a Filipino. The ship was hijacked March 29, 2010.


Hadi congratulated the eight sailors for their safety and ordered the government to compensate them for their suffering.


Eqbal Yassin, a relative of one of the freed sailors, told The Associated Press that the hijackers had allowed some sailors to phone their relatives and convey the pirates’ demand for $ 5 million ransom. He said he was told by his relative that the hijackers killed a Yemeni sailor who tried to escape. He gave no further details.


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Hot spots draw believers, but not doomsday






As the sun rose from time zone to time zone across the world on Friday, there was still no sign of the world’s end — but that didn’t stop those convinced that a 5,125-year Mayan calendar predicts the apocalypse from gathering at some of the world’s purported survival hot spots.


Many of the esoterically inclined expected a new age of consciousness — others wanted a party. But, in some places said to offer salvation from the end, fewer people showed up than officials had predicted — much to the disappointment of vendors hoping to sell souvenirs.






Here are some key places being marked by the fascination over doomsday rumors:


MEXICO


In an area of Mexico that was once the ancient Mayan heartland, spiritualists gathered in the darkness before dawn on Friday to prepare white clothes, drums, conch shells and incense. They believed the sunrise would herald the birth of a new and better age as a vast cycle in the Mayan calendar comes to an end.


Many people who came to Yucatan for the occasion were already calling it “a new sun” and “a new era.”


FRANCE


According to one rumor, a rocky mountain in the French Pyrenees will be the sole place on Earth to escape destruction. A giant UFO and aliens are said to be waiting under the mountain, ready to burst through and spirit those nearby to safety. But there is bad news for those seeking salvation: French gendarmes, some on horseback, blocked outsiders from reaching the Bugarach peak and its village of some 200 people.


Eric Freysselinard, head of local government, said the security forces had “partially stopped the new age enthusiasts as well as curious people from coming to the area.”


Meanwhile, some Bugarach residents dressed up like aliens, with tinfoil costumes and funnels and fake antenna on their heads, strolling around their village Friday to make light of the rumored UFO prophecy.


RUSSIA


Doomsday rumors have prompted some people across Russia to stock up on candles, water, canned foods and other non-perishable foods. The apocalypse has proven a good business, with some shops selling survival aid packages that include soap and vodka.


In Moscow, salvation has also been promised in the underground bunker for the former Soviet dictator Josef Stalin — with a 50 percent refund if nothing happens. An underground stay was originally priced at 50,000 rubles ($ 1,625) but dropped to 15,000 ($ 490) a week ahead of the feared end.


The bunker, located 65 meters (210 feet) below ground, was designed to withstand a nuclear attack. Now home to a small museum, it has an independent electricity supply, water and food — but no more room, because the museum has already sold out all 1,000 tickets.


BRITAIN


Hundreds of people have converged on Stonehenge for an “End of the World” party that coincides with the Winter Solstice.


Arthur Uther Pendragon, Britain’s best-known druid, said he was anticipating a much larger crowd than usual at Stonehenge this year. But he doesn’t agree that the world is ending, noting that he and fellow druids believe that things happen in cycles.


“We’re looking at it more as a new beginning than an end,” he said. “We’re looking at new hope.”


Meanwhile, end-of-days parties will be held across London on Friday. One event billed as a “last supper club” is offering a three-course meal served inside an “ark.”


SERBIA


Some Serbs are saying to forget that sacred mountain in the French Pyrenees. The place to be Friday is Mount Rtanj, a pyramid-shaped peak in Serbia already drawing cultists.


According to legend, the mountain once swallowed an evil sorcerer who will be released on doomsday in a ball of fire that will hit the mountain top. The inside of the mountain will then open up, becoming a safe place to hide as the sorcerer goes on to destroy the rest of the world. In the meantime, some old coal mine shafts have been opened up as safe rooms.


On Friday a New Age group called “The Spirit of Rtanj” was holding a conference there. Participants, however, said they expect not the end of time but the start of a new time cycle. Locals turned out to sell brandy and herbs.


“There will be no tragedy, no doomsday,” said resident Dalibor Jovic. “It was supposed to happen at 12:12 and I think that time has passed. So, we can now go on with our lives and be happy to be alive.”


TURKEY


A small Turkish village known for its wines, Sirince, has also been touted as the only place after Bugarach that would escape the world’s end. But on Friday journalists and security officials outnumbered cultists. This outcome disappointed local business people who had prepared a range of doomsday products to sell, including a specially labeled Doomsday wine and Turkish delight candy whose “best before” date was Dec. 21, 2012. One restaurant prepared a special “last meal” menu that included a “heaven kebab” and “forbidden fruit dessert.”


ITALY


Another spot said to be spared: Cisternino, a beautiful small town in southern Italy in an area of trulli, traditional dry stone huts with conical roofs. The notion that Cisternino could be a safe haven at world’s end derives from an Indian guru, Babaji, who said “Cisternino will become an island” at world’s end. His followers built a community in Cisternino centered on an ashram built in 1979. Hotel bookings are up this weekend.


Mayor Donato Baccaro told the AP that the beauty of the place has inspired many foreigners to live there. “This confirms that this place has a special energy,” he said.


CHINA


A fringe Christian group has been spreading rumors about the world’s impending end, prompting Chinese authorities to detain more than 500 people this week and seize leaflets, video discs, books and other material.


Those detained are reported to be members of the group Almighty God, also called Eastern Lightning, which preaches that Jesus has reappeared as a woman in central China. Authorities in the province of Qinghai say they are waging a “severe crackdown” on the group, accusing it of attacking the Communist Party and the government.


U.S.


Dozens of Michigan schools canceled classes for thousands of students to cool off rumored threats of violence and problems related to doomsday. The fears were exacerbated by the recent shooting at a Connecticut elementary school, which “changed all of us,” the school system in Genesee County said. “Canceling school is the right thing to do.”


___


Associated Press writers Florent Bajrami in Bugarach, France; Mansur Mirovalev in Moscow; Peppino Ciraci in Cisternino, Italy; Suzan Fraser in Ankara, Turkey; Paisley Dodds in London; and Dejan Mladenovic in Mount Rtanj, Serbia, contributed to this report.


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Obama says failure to reach fiscal deal would hurt markets






WASHINGTON (Reuters) – Financial markets would be affected adversely if U.S. lawmakers fail to agree on a “fiscal cliff” deal before Tuesday, President Barack Obama said in an interview broadcast on Sunday, while urging Congress to act quickly to extend tax cuts for middle-class Americans.


Lawmakers are seeking a last-minute deal that would set aside $ 600 billion in tax increases and across-the-board government spending cuts that are set to start within days. If Congress does not make that happen, the first bill brought up in the new year would be to reduce taxes for middle-income families, Obama told NBC’s “Meet the Press.”






“Now I think that over the next 48 hours, my hope is that people recognize that, regardless of partisan differences, our top priority has to be to make sure that taxes on middle-class families do not go up. That would hurt our economy badly,” Obama said in the interview taped on Saturday.


“We can get that done. Democrats and Republicans both say they don’t want taxes to go up on middle-class families. That’s something we all agree on. If we can get that done, that takes a big bite out of the ‘fiscal cliff.’ It avoids the worst outcomes,” Obama added.


Low income tax rates first put in place under Republican former President George W. Bush are due to expire at the end of the day on Monday – the last day of 2012.


Obama said that failing to reach a deal would have a negative impact on financial markets.


“If people start seeing that on January 1st this problem still hasn’t been solved, that we haven’t seen the kind of deficit reduction that we could have had had the Republicans been willing to take the deal that I gave them … then obviously that’s going to have an adverse reaction in the markets,” he said.


RARE SENATE SESSION ON SUNDAY


Obama met with congressional leaders at the White House on Friday and declared himself cautiously optimistic about the chances of an agreement, but he noted in the interview that nothing had materialized since then.


“I was modestly optimistic yesterday, but we don’t yet see an agreement. And now the pressure’s on Congress to produce,” he said.


The Senate is scheduled to hold a rare Sunday session beginning at 1 p.m. EST (1800 GMT), but it was not clear whether the chamber would have fiscal-cliff legislation to act upon.


Obama sketched out what he believed to be the most likely scenarios the end the back-and-forth between both sides. Either the congressional leaders would come up with a deal, or Democrats in the Senate would bring a bill to the floor seeking an up-or-down vote to extend tax cuts for middle income earners.


“And if all else fails, if Republicans do in fact decide to block it, so that taxes on middle class families do in fact go up on January 1st, then we’ll come back with a new Congress on January 4th and the first bill that will be introduced on the floor will be to cut taxes on middle class families,” he said.


Obama chided Republicans for resisting his call for tax rates to go up for the top two percent of U.S. earners despite what he viewed as significant compromises on his part to cut spending and reform expensive social programs for the poor and elderly.


“They say that their biggest priority is making sure that we deal with the deficit in a serious way, but the way they’re behaving is that their only priority is making sure that tax breaks for the wealthiest Americans are protected. That seems to be their only overriding, unifying theme,” Obama said.


“The offers that I’ve made to them have been so fair that a lot of Democrats get mad at me. I mean I offered to make some significant changes to our entitlement programs in order to reduce the deficit,” he said.


(Reporting by Jeff Mason; Editing by David Brunnstrom)


Health News Headlines – Yahoo! News





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Crucial day for US budget talks









US President Barack Obama: “Agreement is being discussed as we speak”



US politicians are facing a crucial day of talks aimed at preventing the economy falling over a “fiscal cliff”.


Congress must reach a deal by the end of the year to avert steep spending cuts and tax rises due to take effect.


President Barack Obama has said he is “modestly optimistic” that Senate leaders can craft a bill that could win approval in both chambers of Congress.


If they fail, taxes will significantly rise for most Americans, raising fears of a US economic slowdown.


Republicans and Democrats tried to resolve the looming crisis in 2011 but failed, instead signing temporary agreements which postponed the deadlock until the end of 2012.


Democrat Senate leader Harry Reid and his Republican counterpart Mitch McConnell have been locked in negotiations over the weekend, in an otherwise closed-down Capitol.


According to the Washington Post, they have set themselves a deadline of 15:00 local time (20:00 GMT) to reach a compromise agreement, after which they will convene caucus meetings of their members and decide whether the measure has enough support to be put to a vote.


The Senate could then vote on the measure and allow the House of Representatives enough time on Monday to consider it, said the paper.


Continue reading the main story

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America’s reckless politicians may still take the country over the cliff into an uncertain land where recession looms”



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But Republican and Democratic leaders remain divided over core ideological issues about tax and government funding.


There is also debate over where to set the threshold for tax rises. Democrats say tax cuts introduced by former President George W Bush and now due to expire should be extended for all Americans except the richest, those with annual earnings of more than $ 250,000 (£155,000), who should pay more.


Republicans want the tax threshold set higher, at around $ 400,000, and for revenue to be raised by economic growth and cuts in social security and mandatory spending programmes.


President Obama is scheduled to make a rare appearance on NBC’s Meet the Press on Sunday.


He has urged negotiators to reach a deal, even if the resulting legislation is an unhappy compromise for both sides which defers resolution of some elements under discussion.


The country “just can’t afford a politically self-inflicted wound to our economy,” he said, warning that if they fail, “every American’s paycheck will get a lot smaller”.


“Congress can prevent it from happening, if they act now,” he said.


Some Republicans have pledged never to vote for increased taxes. There are some indications they could oppose any deal which included higher taxes.


If Mr Reid and Mr McConnell cannot reach a deal by the end of the year, Mr Obama has said he will seek a vote to prevent tax rises on incomes up to $ 250,000 and ensure unemployment insurance is continued.


That, he says, is the “bare minimum” Congress should get done before 1 January.


End to benefits


The term fiscal cliff refers to the combination of almost $ 600bn (£370bn) of tax rises and spending cuts due to come into force on 1 January if Congress fails to pass new legislation.


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What is the fiscal cliff?


  • On 1 January 2013, tax increases and huge spending cuts are due to come into force – the so-called fiscal cliff

  • Deadline was put in place in 2011 to force president and Congress to agree ways to save money over the next 10 years

  • Fear is that raising taxes while massively cutting spending will have a huge impact on households and businesses

  • Experts believe it could push the US into recession, and have a global impact on growth


Sweeping Bush-era tax cuts will expire, eventually affecting people of all income levels, and many businesses.


While some of the impact would be felt almost immediately, other effects would take longer to filter through. This could damage America’s recent fragile economic recovery and alarm global markets.


In addition, the US Treasury will hit its legal borrowing limit on 31 December of $ 16.4tn.


Last week, Treasury Secretary Timothy Geithner won a reprieve of about two months of time, but the debate on the borrowing ceiling will also need to be properly addressed in the new year.


The tax cuts and benefits set to expire include:


• A 2010 payroll tax cut, the expiration of which would prompt immediate wage-packet cuts


• Benefits for the long-term unemployed, which could mean more than two million Americans immediately stopped receiving payments


• Compensation for doctors treating patients on federal healthcare programmes


• Inheritance taxes are also likely to be affected if no deal is reached.


In addition, spending cuts mandated by a law passed to break a previous fiscal impasse in Congress will come into force, affecting both military and domestic budgets.


The cuts are expected to affect federal government departments and the defence sector, as well as hitting unemployment insurance and veterans’ support.


BBC News – Business





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