Economics

Trump, Democrats Avert ‘Wile E. Coyote’ Moment With Budget Deal

Drop from fiscal cliff would have dragged down U.S. growth
Debt-ceiling delay removes one of Powell’s uncertainties

Deal Framework Reached on Raising U.S. Debt Ceiling — Photographer: Joshua Roberts/Bloomberg

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By Rich Miller and Ryan Haar

July 23, 2019 at 4:40 PM UTC

This article is for subscribers only.

The Wile E. Coyote scenario for the U.S. economy looks like it’s been put to rest.

A two-year budget deal hammered out by President Donald Trump and lawmakers Monday would remove the risk of a big contraction in federal spending in 2020 that could have dragged the economy down.