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A radical reduction in government spending caused by an unforseen event or series of events which increase government debt substantially. America almost experienced a fiscal cliff in January 2013 when a series of events would have forced a sharp increase in tax and a reduction of government spending. South Africa is said to face a fiscal cliff as a result of the government's excessive debt following COVID-19. It is expected that at some point the government will have to raise taxes and cut spending radically to contain its debt.