Wednesday, January 27, 2010
Obama plans to freeze spending.
Obama plans to freeze spending. Now this means that Obama intends to freeze spending on certain parts of the budget, but Defense, homeland security, veterans benefits, Medicare, Medicaid and social security are exempt. . Now this only applies to 12.5% of the budget and is only expected to save 250 billion dollars this decade. The U.S is expected to bring up the debt another 9 trillion this decade so this is not at the least a solution to the debt. Now republicans say it does not go far enough and democrats say they do not like the freeze because it stops money going to social programs. Not much support in congress is a fair assumption. Here is the interesting part Obama actually said as a candidate that he would not freeze spending. Now I think it is good that the U.S.A is thinking of a way to reduce the deficit but as you can see not enough.If the U.S.A wants to cut the deficit you are going to need to do more than that, but I think the number one rule in getting a surplus is fixing the economy. http://www.youtube.com/watch?v=lTMJ_uvCnoU&feature=related http://www.cnn.com/2010/POLITICS/01/26/discretionary.spending/index.html