UPDATED: Obama budget seeks new spending, new taxes to boost economy, tame debt

Last edited Tue Mar 4, 2014, 01:55 PM - Edit history (1)

Source: Washington Post

BY ZACHARY GOLDFARB

President Obama unveiled an ambitious budget blueprint Tuesday that seeks more than $600 billion in fresh spending to boost economic growth but also pledges to tame the national debt by raising taxes on the wealthy, slashing payments to health providers and overhauling the nation's immigration laws.

The request sent to Congress offers a smorgasbord of liberal policy ideas in a year when riling up the Democratic base and drawing a vivid contrast with Republicans are critical to Obama's hopes of preserving his party's imperiled majority in the Senate.

His blueprint includes a few narrowly targeted spending cuts, but relies primarily on more than $1 trillion in new taxes to slow borrowing over the next decade – with much of the burden falling on major businesses and the wealthy. Obama would also direct some of the proceeds to new road and bridges, universal preschool education and expanded tax credits for the poor.

To achieve Obama's agenda, however, Congress would have to approve virtually all of his ideas. And while the budget opens the door to potential areas of bipartisan agreement – including an overhaul of business taxes that would generate cash for job creation – it retreats from other compromises.




Read more: http://www.washingtonpost.com/blogs/wonkblog/wp/2014/03/04/obama-budget-seeks-new-spending-new-taxes-to-boost-economy-tame-debt/?wpisrc=al_comboPEN_p