CBO: Scheduled Tax Hikes, Spending Reductions Will Tip U.S. Into Recession, Lift Unemployment Past 9 Percent

The spending reductions aren't actual cuts, just a largely across-the-board slowing of the growth of federal spending.

If the so-called fiscal cliff takes effect in 2013, the U.S. deficit outlook will improve, but scheduled tax increases and spending cuts would push the country into recession and unemployment up to 9%.

That's one of the main takeaways from an analysis Wednesday by the Congressional Budget Office, which released its updated budget and economic projections for 2012 through 2022.