How Should You Prepare for the Fiscal Cliff?

There is no bigger domestic issue today than the fiscal cliff, and Morgan Housel tells investors how they should be preparing.

While Morgan believes that the fiscal cliff is a very real concern for investors everywhere, he points out that if we go over the cliff in its entirety, no party benefits. Everyone has the same motivation to solve this problem, so perhaps with those in Washington all rowing in the same direction, we'll be able to avert disaster.

The good news is that the U.S. economy has a lot of promise in the housing and energy sectors, and if the fiscal cliff can be averted, those sectors could drive another boom in the economy.

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