Snappy newsletters. Simple Facebook sharing. Spirited comments. Sweet features are waiting… GET THEM NOW!

Obama Unveils $3.8T Budget Proposal

Plan includes record deficit, money for job program

By Kevin Spak,  Newser Staff

Posted Feb 1, 2010 10:13 AM CST

(Newser) – Barack Obama sent Congress a budget proposal today that would push the deficit to $1.56 trillion—its highest level in history. The budget would raise taxes on the wealthy and freeze spending on a host of government programs, but calls for spending $100 billion on job creation, including tax breaks to encourage businesses to hire and government spending on infrastructure projects.

Obama decried “what can only be described as a decade of profligacy,” and called on lawmakers to follow his lead and reduce “waste in programs I care about.” The proposal would push 2010 spending to $3.72 trillion, and 2011 spending to $3.83 trillion. Republicans decried its tax cuts and deficit expansion, but the administration argues that it inherited a trillion-dollar deficit, and has been forced to keep spending to stimulate the economy.
Copies of President Barack Obama's budget are delivered to the Senate Budget Committee on Capitol Hill in Washington, Monday, Feb. 1, 2010.
Copies of President Barack Obama's budget are delivered to the Senate Budget Committee on Capitol Hill in Washington, Monday, Feb. 1, 2010.   (AP Photo/Manuel Balce Ceneta)
A copy of President Barack Obama's budget is seen on Capitol Hill in Washington, Monday, Feb. 1, 2010, as it was delivered to the Senate Budget Committee.
A copy of President Barack Obama's budget is seen on Capitol Hill in Washington, Monday, Feb. 1, 2010, as it was delivered to the Senate Budget Committee.   (AP Photo/Manuel Balce Ceneta)
Copies of President Barack Obama's budget are seen on Capitol Hill in Washington, Monday, Feb. 1, 2010, as it was delivered to the Senate Budget Committee.
Copies of President Barack Obama's budget are seen on Capitol Hill in Washington, Monday, Feb. 1, 2010, as it was delivered to the Senate Budget Committee.   (AP Photo/Manuel Balce Ceneta)
« Prev« Prev | Next »Next » Slideshow
My TakeCLICK BELOW TO VOTE
3%
30%
21%
12%
33%
0%
To report an error on this story, notify our editors.
COMMENTS
Showing 3 of 30 comments
odowd80
Feb 2, 2010 12:07 PM CST
Of course its troubling. Recessions are always troubling. I'm asking for solutions. What gets cut?! If you cut Medicare, Medicaide, AND Social Security, you'd be close to a balanced budget. Are Republicans willing to author that bill? Lets say you cut ALL non-defense discretionary spending...there's still a trillion to go. Bush's last budget included a lot more tax revenue, and didn't include war spending.
odowd80
Feb 2, 2010 3:13 AM CST
@brutal: You're forgetting that a big chunk of the deficit was created from a loss in tax revenue. There was a $320B decline as a direct result of the recession, that's not new spending. Obama also cut taxes on the middle class in the stimulus bill ($100B). So you would propose raising taxes on the middle class right now? And you'd suggest removing the the war spending from the budget (but still spending the money via emergency appropriations like Bush did). Other increases in spending came from regular increases for Medicare, Medicaide, and Social Security. The last bit was TARP and the Stimulus.
kyleleitch
Feb 2, 2010 3:10 AM CST
@odowd, Republicans would cut everything they could if they had their way. Their economics don't care about anyone but the people it serves: the Republicans.

 
Barack Obama • deficit • national debt • budget deficit • President Obama • 2010 budget • 2011 budget

 
NEWS FROM OUR PARTNERS
Other Sites We Like:   24/7 Wall St.   |   BuzzFeed   |   Cracked   |   World History Project   |   POPSUGAR Tech   |   Business Insider   |   HuffPost Entertainment   |   NewsOne