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Automatic Spending Cuts

Automatic spending cuts, often referred to as "sequestration," are predetermined reductions in government spending that occur if budgetary targets aren't met. They are typically applied across various federal programs, including defense and non-defense areas, to help control national debt or deficit. These cuts are triggered automatically without any additional legislative action when laws impose spending limits that aren't adhered to. This mechanism aims to encourage lawmakers to manage the budget responsibly by providing a consequence for overspending, ensuring fiscal discipline in government operations.