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She sticks to the centre, making much of fiscal responsibility and the targeting of help to families and small businesses.
Can tight budgeting prevent the growth of the kinds of imbalances that led to the present European crisis?In a session on the euro-zone crisis, IMF chief economist Olivier Blanchard offered some reason to be cautious in asking too much of fiscal policy.
In turn, much of fiscal incidence analysis is done on the non-behavioral type of assumption (Sutherland 2001; Immervoll et al. 2006).
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In the wake of the credit crunch there has been much talk of fiscal stimulus and the need to rebalance the economy away from financial services.
Data like these five years into our economic "recovery" (and following unprecedented fiscal and monetary stimulus) continue to argue for a defensive posture, especially given that much of the fiscal and monetary stimulus will be going away.
Any chancellor who inherited the widest peacetime deficit on record and a debt-to-GDP ratio north of 65% could not provide much of a fiscal boost.
It is an opportunity for a chancellor who has made so much of his fiscal prudence to take a reality check.
Jonathan Riley, UK head of tax for accountants Grant Thornton, said: "We were aware from the time the patent box regime was announced that some of the UK's competitor nations felt this gave the UK too much of a fiscal advantage.
Others grumbled that much of the fiscal "improvement" was fake, arguing that the Bush team regularly overestimates deficits early in the year so that it can flourish better numbers later on.The White House's February forecast of a $423 billion deficit was indeed far above other people's.
How much of the fiscal gap will go away?
Bank of America itself expects lawmakers will allow much of the fiscal cliff to transpire, leading to about $325 billion in budget tightening, enough in their view to stall job growth.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com