Fiscal Cliff

Whether negotiated in a rush before the new year or left for early January, the fiscal deal President Barack Obama and Congress cobble together will be far smaller than what they initially envisioned as an alternative to purposefully distasteful tax increases and spending cuts.

Efforts to save the nation from going over a year-end "fiscal cliff" were still in disarray as lawmakers returned to the Capitol to confront the tax-and-spend crisis.

Senate leaders are rushing to assemble a last-ditch agreement to avoid middle-class tax increases and possibly delay steep spending cuts in an urgent attempt to find common ground after weeks of postelection gridlock.

President Barack Obama is urging Congress to reach a deal to avoid the fiscal cliff, saying the nation "can't afford a politically self-inflicted wound to our economy."

Lawmakers are engaged in a playground game of "who goes first," daring each political party to let the year end without resolving a Jan. 1 confluence of higher taxes and deep spending cuts that could rattle a recovering, but-still-fragile economy.

Lawmakers say it'll be time to get back to work when they and President Barack Obama return to Washington on Thursday following the Christmas holiday.

Efforts to save the nation from going over a year-end "fiscal cliff" were in disarray as lawmakers fled the Capitol for their Christmas break. "God only knows" how a deal can be reached now, House Speaker John Boehner declared.

President Barack Obama says he'll press ahead with Congress to prevent across-the-board tax increases set to strike taxpayers Jan. 1 after House GOP leaders unexpectedly put off a vote on legislation calling for higher rates on million-dollar earners.

President Barack Obama says he is prepared to do "tough things" for a "fiscal cliff" deal and says there is no reason for the talks to fail.

There's a lull in the fiscal cliff talks as the White House and leading congressional Democrats have rejected the "Plan B" presented by House Speaker John Boehner.