Sinking stocks: Bad day. The losses have been propelled by the failure of the budget super-committee, along with new concerns out of Europe. Dow is down more than 300 points.
Deficit deal is dead: Democrats and Republicans couldn't even agree on the reasons why the talks collapsed. From the NYT:
Democrats insist that they were closing in on the framework of an agreement, but that Republicans backed away from their willingness to accept significant revenue increases in exchange for cuts in the growth of entitlement programs. They said Mr. Boehner sealed the fate of the panel on Thursday by offering a package that had a mere $3 billion in new revenue, far less than an earlier Republican plan. Republicans, who agreed that there was a potential framework a week ago, counter that the deal was spoiled by Democrats, who refused to lock in the level of entitlement savings or tax changes they would accept, and began to demand more revenues to match any substantive entitlement changes. Democrats also would not agree to a framework for tax reform, Republicans said.
Brown prepping tax plan: The governor's ballot initiative would raise income taxes on the wealthy and increase sales taxes across the board, LAT columnist George Skelton is reporting. Brown is being forced to try a ballot initiative because he lacks a two-thirds majority in the legislature to approve tax hikes.
Billionaires push ballot initiative: The plan would reshuffle California's tax system by lowering personal income and sales taxes and creating a new levy on services that are not currently taxed. From the LAT:
The Think Long Committee, which includes Google Chairman Eric Schmidt, former governors Gray Davis and Arnold Schwarzenegger and Los Angeles philanthropist Eli Broad, says its proposal would provide $5 billion more for public schools every year and billions for public universities and local governments.
More people traveling for holiday: Auto Club projects a 4.1 percent increase over 2010. (LAT)
Latest "Twilight" installment scores huge box office: "Breaking Dawn" grossed $139.5 million domestically and $144 million overseas. (THR)
Poor quarter for magazines: Ad pages fell 6.7 percent and 2.6 percent for all of 2011. Gains were posted by 59 of the 152 monthlies tracked by MIN. (NY Post)