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2012 Budget Proposal - Research Paper Example

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Overspending and mismanagement have left the country on the edge of bankruptcy. The relentless taxing, spending and borrowing of the…
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2012 Budget Proposal
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Download file to see previous pages Such cut-and-invest agenda would create winners and big losers because the President’s budget proposal presumes using the money from some domestic programs to reduce the deficits and increase spending for education, clean energy, infrastructure, innovation and research in order to promote long-term economic growth and global competitiveness of the United States. Definitely, there are certain differences between the Presidents FY 2012 budget proposal and The House of Representatives FY 2012 budget proposal, which will be discussed further in the current paper. President Obama emphasized that the administration needs to construct a new foundation for long-term economic growth with pillars necessary to win in the world economy. Such pillars include an educated and skilled workforce, cutting-edge research into the innovations to power the industries of tomorrow, a modern infrastructure to support a growing, high-tech economy, and the jobs to support a growing middle class. As a result, Americans now face a monumental choice about the future of their country.
The Republican response toward the President’s call for economic changes came in April, when Representative Paul D. Ryan of Wisconsin announced 2012 budget of his party. The main three purposes of The House of Representatives FY 2012 budget proposal is to (a) lift the crushing burden of debt; (b) guarantee health and retirement security for all Americans, especially seniors; and (c) strengthen the base of economic growth and creation of the jobs (Becker, 2011). Paul Ryan informed that the plan would reduce the deficit by $5.8 trillion over the next decade. It can be accomplished due to deep cuts in discretionary spending programs and turning Medicare into a "defined benefit, under which seniors would get vouchers to purchase private insurance. Medicaid would get smaller as the federal contribution to state ...Download file to see next pagesRead More
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