After installing my 2 inch body lift on my 2001 Grand Vitara my airbag light stays on and the horn quit working. I checked all the wires during and after lifting and nothing stretched or kinked. Any suggestions?

Something got whacked.  The body lift alone wouldn't do this (mine is a 3" BL).  Trace the wires.

BTW - did you check the fuses?

Did your steering wheal get turned when you extended the shaft ?
the wire in there for the air bag is called the clock spring,

you can get the clock spring by its self from the junk yard . i got mine for 16 bucks or from the dealer for 400 to 600 hundred they will only sell it complete turn signal wiper all that stuff. or try a vendor from here they always say hawk has it.

Is there any chance the airbag will go off by accident? If not i will leave it.  I don't like the thought of being in the woods with an airbag, this is one thing i didn't like about my 96 Tracker.

the horn wire should be hot so i guess theres a chance you can unplug the yellow wire from the steering column