What is the 'fiscal cliff?'

POSTED: 08:50 AM PST Nov 09, 2012    UPDATED: 05:28 AM PST Dec 31, 2012 

Confused by all this talk of a "fiscal cliff" and what it means to you? As lawmakers in Washington try to beat tonight's deadline, here are some answers.

Harry Reid
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Kevin Lamarque/Reuters

How likely is an agreement? -- Several lawmakers have expressed confidence over the past few days that some kind of deal -- most likely a scaled back deal -- will get done, but talks have started and stopped several times over the past several weeks. Senate Majority Leader Harry Reid and other Democrats believe asking "the richest of the rich" to pay more must be the biggest part of the equation.

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