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LAS VEGAS (Associated Press) One of the nation's top credit rating agencies is warning that the gambling industry will be among the hardest hit if the White House and Congress fail to avert the so-called "fiscal cliff."
Moody's Investors Service issued a report Monday saying the gaming, automobile and lodging industries will suffer the most from the across-the-board spending cuts and tax increases that will result if budget negotiations stall.
Moody's says the gambling sector would suffer disproportionally because it is "entirely" dependent on discretionary spending.
The report says the cuts and tax increases that will strike on Jan. 1 unless politicians reach a deal could undercut U.S. economic growth. Moody's says casinos could see profits fall by as much as 10 percent if the economy began to contract.
