matrix
1st February 2010, 09:20 AM
Obama's 2010 budget includes $1.6 trillion deficit
US President Barack Obama's $3.8 trillion 2010 budget proposal is dripping with red ink and has a record-breaking budget deficit.
http://uc-njavan.ir/images/oqp01ppno7tx2rsxecw.jpg (http://uc-njavan.ir/)
However, White House Press Secretary Robert Gibbs said on Sunday that Obama is committed to his campaign pledge to halve the budget deficit he inherited by the end of his first term.
The $3.8 trillion plan, to be released on Monday, will include freezing non-discretionary spending — spending that since 1995 has almost doubled in the federal budget.
The plan would add up to a record-breaking $1.6 trillion budget deficit in the current fiscal year, followed by a tamer $1.3 trillion deficit in 2011.
The proposal calculates deficits over the next decade will average 4.5 percent of the size of the economy, a level economists say is dangerously high if not addressed, Gibbs said.
Among Obama's recession-busting ideas over the source of spending are an additional $100 billion to chip away at double digit unemployment, an extension of the popular middle-class tax breaks due to expire after this year, and $250 payments to Social Security recipients.
He has also proposed an increase in taxes on the wealthy and a spending freeze on many government programs
US President Barack Obama's $3.8 trillion 2010 budget proposal is dripping with red ink and has a record-breaking budget deficit.
http://uc-njavan.ir/images/oqp01ppno7tx2rsxecw.jpg (http://uc-njavan.ir/)
However, White House Press Secretary Robert Gibbs said on Sunday that Obama is committed to his campaign pledge to halve the budget deficit he inherited by the end of his first term.
The $3.8 trillion plan, to be released on Monday, will include freezing non-discretionary spending — spending that since 1995 has almost doubled in the federal budget.
The plan would add up to a record-breaking $1.6 trillion budget deficit in the current fiscal year, followed by a tamer $1.3 trillion deficit in 2011.
The proposal calculates deficits over the next decade will average 4.5 percent of the size of the economy, a level economists say is dangerously high if not addressed, Gibbs said.
Among Obama's recession-busting ideas over the source of spending are an additional $100 billion to chip away at double digit unemployment, an extension of the popular middle-class tax breaks due to expire after this year, and $250 payments to Social Security recipients.
He has also proposed an increase in taxes on the wealthy and a spending freeze on many government programs