In Fitch's opinion, the tax increases and spending cuts implied by the fiscal cliff would not address the long-term drivers of higher public spending and the narrow and volatile tax base. Many of the measures would probably be partially reversed if the economy slowed and unemployment began to rise, perpetuating the uncertainty over government tax and spending policies that is weighing on the economic recovery. Failure to avoid the fiscal cliff would not, in Fitch's opinion, place US public finances on a long-term sustainable path. It would exacerbate rather than diminish the uncertainty over fiscal policy, and tip the US into an avoidable and unnecessary recession that could erode medium-term growth potential and financial stability. In such a scenario, there would be an increased likelihood that the US would lose its "AAA" status.