Spending Cuts Signal Austere Future for Domestic Programs

Automatic cuts set to take effect today will pinch U.S. government functions as the country enters a more austere era that could push discretionary spending as a share of the economy to its lowest level in at least 50 years.

U.S. lawmakers locked in partisan feuds are turning to across-the-board cuts in national security, education and anti-poverty programs rather than structural changes to retirees’ benefits and the tax code.