The threat of a sudden, large reduction in government outlays comes as the world’s largest economy is struggling to gain momentum. Growth in the first two quarters of 2013 averaged 1.8 percent, lower than the 2.2 percent average pace since the recovery began in June 2009.
Lew is meeting later today and tomorrow in Washington with finance ministers and central bankers from the Group of 20 economies.
“The United States is the anchor of the international financial system,” he said. “Other countries look to us for how to govern and how to maintain economic vitality.”