News Summary: Portugal unveils more austerity

MORE AUSTERITY: Portugal's government announced sharp tax increases for next year that risk worsening a recession and stoking public discontent. The budget for 2013 takes away the equivalent of a month's wages from many workers.

STARVING GROWTH: Critics say the measures will choke the economy, which is forecast to contract for a third straight year in 2013, and push record-high unemployment still higher.

BAILED OUT: The government says more austerity is needed to cut the national debt. More than a decade of meager growth compelled Portugal to ask for a $101 billion rescue last year to avert bankruptcy.