Fri Oct 21 13:16:22 CAT 2016

Winners and losers in US budget

By unknown | Feb 02, 2010 | COMMENTS [ 0 ]

WASHINGTON - The Barack Obama administration put money behind its message yesterday with the release of its fiscal 2011 budget, propping up policy priorities with more cash while setting a tone of caution about the high deficit.

Here is a look at some of the winners and losers in the budget for the year, starting October 1, based on initial details released by the White House.

Winners are:

lEducation - President Barack Obama has spent recent days forecasting budget cuts but schools got top billing among a handful of areas that will receive more in the new budget.

lSmall businesses - The "jobs jobs jobs" message the White House is pushing took on a monetary figure in the budget. The administration set aside $100billion for small business tax cuts and investments.

lResearch and Development - The Obama administration likes R&D. The budget includes $3,7billion in additional funds for civilian research and development, a 6,4percent increase to $61,6billion.

The losers:

l The wealthy - Households that earn more than $250000 a year can start saying goodbye to the tax cuts of 2001 and 2003. Obama's budget seeks to raise $678billion over 10 years to set against the deficit.

l Banks - In case there was any doubt about Obama's threat to make banks pay taxpayers back for the bailout programme, the goal is now enshrined in the budget. The administration expects to earn $90billion over 10 years from a fee it plans to levy on big financial institutions.

l Nasa - No moon landing. Obama proposes scrapping the programme that would pursue a trip to the moon, focusing the agency in other directions such as Mars. - Reuters


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