US to unveil austerity plans to tackle deficit

Austerity is the word of the moment as European nations start to implement their deficit slashing measures. Now America looks like it will follow suit.

The US has seen its budget deficit soar to $1.3tr in 2010 while the national debt stands at a staggering $14tr.

On Wednesday, a bi-partisan panel commissioned by President Obama, will outline its plan to tackle the problem but it is proving controversial.

Caroline Hepker reports.