Obama signs sweeping US budget cuts into effect
US President Barack Obama has signed into effect a wave of steep spending cuts that he has warned could damage the US economy.
The cuts - known as the sequester and drawn up two years ago - will take $85bn (£56bn) from the US federal budget this year.
Last-ditch talks at the White House to avert the reductions before Friday's deadline broke up without agreement.
The IMF has warned the cuts could slow global economic growth.
The BBC's Mark Mardell in Washington says the cuts were designed to be so brutally painful that politicians would be forced to agree on a better way of balancing the books.
However, as the deadline loomed on Friday, Mr Obama and Republican congressional leaders still failed to agree on a way to avoid them.
The two sides are at odds over the president's insistence on raising taxes as part of any plan for tackling the country's $16.6 trillion (£11tn) debt.
After the White House talks broke up, Mr Obama blamed Republicans for the impasse.
"They've allowed these cuts to happen because they refuse to budge on closing a single wasteful loophole to help reduce the deficit," he said.
He warned the cuts - if fully realised - would slow US economic growth by half of 1% and cost 750,000 jobs.
"We shouldn't be making a series of dumb, arbitrary cuts to things that businesses depend on and workers depend on," he said.
"Not everyone will feel the pain of these cuts right away. The pain, though, will be real."
The sequester was drawn up in mid-2011 as Congress and the White House feuded over raising the debt ceiling and how to slash the huge US deficit.
Republicans wanted deep cuts in spending while Democrats insisted on raising taxes.
At the end of 2012 Congress and the White House struck a dramatic last-ditch deal to avoid what was dubbed the "fiscal cliff", that included expiring tax breaks and the sequester.
Republicans agreed to Mr Obama's demand to raise taxes for the rich and Congress postponed the deadline for the budget cuts until 1 March.
About half the cuts will come from the defence budget. Incoming defence secretary Chuck Hagel has warned of "significant impacts" on the military.
Bunch of cuts
Bunch of cuts
“If you trust in yourself, and believe in your dreams, and follow your star. . . you'll still get beaten by people who spent their time working hard and learning things and weren't so lazy.”
Re: Bunch of cuts
It's a start. Now fire up the chainsaws & keep slashing! 30% across the board for non-military spending, 50% for all military spending.
Treat Gaza like Carthage.
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Econoline
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Re: Bunch of cuts
Just out of curiosity...does anyone know why it was necessary for Obama to "sign an order" putting the budget cuts into effect?
I thought that the legislation concerning the sequestration process made the cuts automatic. What would've happened if he didn't sign this order?
I thought that the legislation concerning the sequestration process made the cuts automatic. What would've happened if he didn't sign this order?
People who are wrong are just as sure they're right as people who are right. The only difference is, they're wrong.
— God @The Tweet of God
— God @The Tweet of God
Re: Bunch of cuts
Something daft probably 
“If you trust in yourself, and believe in your dreams, and follow your star. . . you'll still get beaten by people who spent their time working hard and learning things and weren't so lazy.”