10 Apr '11, 7pm

Obama to set out budget plan on Wednesday

WASHINGTON: Aides say President Barack Obama will lay out plans to reduce the soaring US budget deficit on Wednesday, setting the stage for a major battle that could define his re-election campaign. Washington is still regrouping from the political jousting that led to the near shutdown of the federal government at the weekend, but looming on the horizon are even bigger battles over the debt ceiling and the 2012 budget. Opposition Republicans put pressure on Obama in the long-term budget debate by unveiling a spending blueprint last week that would cut government expenditures by $6 trillion over the next decade. Republicans want to slash funds for Medicare, benefits for the elderly, and Medicaid, a health programme for people with low income, but Democrats would prefer to make up much of the deficit by raising taxes on the wealthy. Right at the heart of this ideological de...

Full article: http://www.channelnewsasia.com/stories/afp_world_business...

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