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Brooks Wilson's Economics Blog: Budget Cuts for Obama

Wednesday, November 26, 2008

Budget Cuts for Obama

Ross Colvin and Jeff Mason of Reuters write
President-elect Barak Obama vowed on Tuesday to cut billions of dollars from wasteful government programs as he sought to reassure Americans anxious about a growing mountain of debt and a faltering economy.

Please make suggestions of cuts that you believe the President-elect should make when he assumes office.

34 comments:

  1. One that i definitly see getting cut is the spending on the war in Iraq. Other than that it seems that government spending is going to increase because democrats are known for their help of the underprivlidge and weak. Every thing i have heard and read is calling for increase in health care, envirnoment protection and homeland security. So it looks like that some programs will get cut but overall spending will increase because spending in other programs will increase dramatically. I hope that the debt will decrase because we cant afford to go into more debt. But with all the programs that Obama is trying to increase, it seems it will out weigh any cuts that he is trying to make.

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  2. I agree with you. I think that to cut spending on the war in Iraq would be very beneficial. I also think that a great portion of tax dollars go to the welfare system. I think that a program should be enforced to more closely monitor those eligible for welfare. We need a system that would require random drug testing for those who are eligible. Those people should also be required to obtain a high school diploma or GED. It should also be mandatory for them to attend some type of job prep program.

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  3. Our main reason for being in debt is because Bush spending so much money on the war in Iraq. If we cut back alot on the spending for the war, we will gradually get out of our major debt. The government needs to spend a reasonable amount of money in all their programs and not just billions apon billions in one in particular. there are alot of programs that could be cut but the war in iraq is a major one.

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  4. I see the war in Iraq spendings as priority to cut. I think increasing spendings in health care, envirnoment protection and homeland security are far more important than the Iraw War, by this happening I predict our economy will be more likley to decrease it's debt.

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  5. I agree with cutting spending on the war in Irag but I don't agree with the hand outs given to people who are perfectly able to work and/or get an education. The requirements to qualify for welfare, etc should be tightened.

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  6. Well I don't vote for cutting defense. We live in the real world and cutting our defense budget will happen, but most people won't care for the result.
    I think the best results would be to remove the benefits of being a congressman.
    Since I my real pay is now less because of the minimum wage increase, I say lets put a pay rate cap on all government employees for the next ten years. Including the executive, legislative and judicial branches.
    Secondly, if we increase the amount of anti-lobbying legislation we should see them experience something akin to what we do every time they "help" by raising the minimum wage for those teenagers out there.

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  7. I believe that the main cutback in spending will come from the war in Iraq. The United States spends around 5 billion dollars in Iraq each month, anually thats 60 billion dollars. President-elect Barack Obama delivered a message Tuesday that even as the nation girds for a major stimulus package meant to “jolt” the economy out of its downturn, he will be a careful custodian of the budget, eliminating wasteful spending such as federal crop subsidies for millionaire farmers. I see Obama as another Robin Hood. Take from the rich and give to the poor seems to be his theory.

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  8. I agree with the wellfare comment on making the selection process for being accepted tighter and follow up on them to see if they are making progress and making a effort in bettering their situation. The war, although a sensitive topic, may be spending a bit too much than needed. But we wouldnt still be there if it wasn't making progress. Dr. Wilson made a good point on cutting back on PBS, and i very much agree. I do think something could and should be done with the station and let other stations air the shows. I dont think minimum wage as anything to do with it. To the best of my knowlegde its to accomidate the increase in living, and is not just for teenagers. There are plenty of adults on minimum wage, whether it be not fortunate enough to make it higher in the job force or in some tipe of set back. Whatever the case im sure the government will find someway in the best intrest of all to cut whats unneeded.

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  9. Cutting our spending on the war is a given, but I have to agree with candemm on cutting the spending on the welfare system. This system has so many flaws it makes it so easy for people to benifit from it even if they do not need it. We need to monitor this program a little closer and see who we are really giving the money to and what they are doing with it.

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  10. As everyone has aleady said cutting spending on the Iraq war will save a lot of money. But seems like nothings gonna change debt wise, because you cut one thing then they just use that money on something else. To the public though cutting back one the irag war it will precieve to the people that we are saving money. We need to spend the money on people that actually need it. People who are perfectly healthy and having working limbs should be working.

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  11. One way to reduce debt is to cut spending and raise taxes (which no one likes). You could cut unneccessary spending but it depends on what you think is unneccessary. I would hate to cut back spending on the military. When people are given money, they need to be more accountable for how it is spent. We give billions to other countries, but are we really getting the bang for our buck? I also think the welfare system needs a good overhaul. Which would weed out the people that are getting money who are perfectly capable to get training and a job.

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  12. I think that spending on the war in Iraq will definitely be cut and I agree that it should be. We have wasted so much money over there it's unbelievable. The main thing that our money goes to over there is rebuilding what we destroy! It's just ignorant and it's time to get out. Saying all of this I am not for cutting military expenses however as long as it goes towards the effort to protect our country. So on the other hand I think homeland security needs a boost in funding or either the current budget be refocused the achieve better results. Also, I think other programs that benefit our country should be more of a main focus to spend money on instead of the war. Health care for the elderly and especially veterans is something worthy of pouring money into.

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  13. The war in Iraq is the main reason for much of the nation's debt. With the cutback of the cost of sending soldiers and food over to Iraq the national debt will definitely be relieved quite a bit.

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  14. I agree with everyone else in the fact that some money could be cut from Iraq. Even though alot of good things are happening over there such as building schools and hospitals and other things. But when it gets to the point of hurting america and its fellow Americans, it need to reduce.

    and ALSO- I think that while he's out cutting, he should shed some thousand bucks off of that there college tuition that is awfully too high!

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  15. I agree. I do believe that the war in Iraq is costing the nation as a whole to much money. But we just cant take all of our troops out and let them think we just gave up. But i do agree that some need to come out. On the other had president elect Obama wants to spend money on programs not needed. Spend the money wisely on things that it should be.

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  16. I strongly agree that there is to much wasted money in useless govenment programs. I think the governments invovlement in foreign affairs is absolutely ridiculous. We have our own problems that need to be dealt with.

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  17. I strongly agree that there is to much wasted money in useless govenment programs. I think the governments invovlement in foreign affairs is absolutely ridiculous. We have our own problems that need to be dealt with.

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  18. Not to jump on the band wagon, but I also have to agree with hornfan254. I believe major government spending with definately take a toll on the war in Iraq. Democrats major goal is the end the war in Iraq, so their is no reason for them to continue to spend government money on a war we will much likely not be in much longer. And I have to agree with the majority of the posts, we should be spending more money on domestic interests such as the national guard and homeland security to prevent astronomical events such as September 11th. Hopefully Barack Obama will also concentrate on paying back war depts so we are not as dependent on other countries. However, all of his proposals suggest this will not be happening any time soon.

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  19. The main thing Obama has been saying he wants to increase the spending into is the increase in health care, security, and becoming environmentally friendly. These are all great but if when he cuts spending out he is just going to put all that money towards something else. Some programs do need more attention and money than others, but we have all this money into these certain programs now, whats going to happen when we take that money out? Like many other bloggers i agree with them on decreasing the expense in Iraq though. Obama states that by weeding out all the unnecessary we will become a stronger nation and give more attention to the programs that need it. But how will we know until we have the cut backs how it will effect the economy and if it will make it better. Debt is a main thing we need to bring ourselves out of and that is what we need to focus on to bring our economy back to a stable plank. By weeding out the unnecessary programs may fix debt for now but by putting that money into other programs is only going to bring the same debt back. Its a cycle we seem to never break.

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  20. I definetly agree with L33 in that cutting spending on our defenses is a terrible idea. People seem to quickly forget about how many other nations are out testing their nuclear weapons and so many americans are pushing us to leave Iraq and our country unprotected. I believe that we should cut spending on pointless research such as wether pregnancy causes women to become temporarily forgetfull. I'd love to know how much tax payers money was going to A.N.U. for useless information such as this.

    Shelby Thompson

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  21. Okay, where to make cuts in government spending? Prisons should only have the bare minimums needed for a person, and all prisoners should be involved in some type of production that benefits society as a whole. Welfare, food stamps, and housing programs should be more restricted and have more accountability. Space research, I know I may get some flack here, but we can't even take care of our own planet well.

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  22. We were in debt before we went to war but I do believe the president-elect Obama will cut its funding due to lack of support. But I am curious to what these wasteful government programs are and if they truly are wasteful why they are still intact with our current economic struggles.

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  23. I agree with Andrew Watson, we were in debt before we went to war, we always have been in debt, and we more than likely always will be no matter how many cut backs are made. I agree that there is too much money going over to Iraq for the war, but if there wasn't a reason for us to be there then we wouldn't be. We have to send the support that our troops need to perform their duties. If we hadn't made any progress in the war, then there more than likely would've been more attacks directed towards our country. I'm sure that Obama will cut back spending in the war with iraq, but i think cutting back all spending is extremly risky, and unreal. I think that we should make a cut back in the wellfare section. I think they should make the selection of wellfare perticipants truely worthy of the money they will recieve from our taxes. There are far too many people on wellfare that do not desearve to be on it. Many people decide not to search for a job because they know that they will recieve a wellfare check every month.

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  24. I do not think that we should cut our spending on the military or the war. I think we need to stop sending money to other countries to bail them out. I am all for helping but the US needs alot of help itself.

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  25. Sorry everyone, this comment will turn anyone against me! But I beleive that the working class of America isnt taxed ENOUGH. Though it would put a burden on our economy, it would greatly decrease our debt over time. Yes, government spending could be regulated much more in many unknown ways; (to those with the lack of inner government insight)however, i believe Americans should do the work as a team to increase national savings instead of the government having to weaken their operations around the world.

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  26. I don't think that we should cut spending on the war, but I do think that we need to start spending more money on the U.S. and stop trying to bail other countries out so much. We have problems of our own that we aren't dealing with and all they are going to do is keep getting worse if we don't help them.

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  27. I would cut spending on the war in Iraq, space exploration, aid to foreign countries and many, many other government programs. I would also look at every program and find ways to improve. I'm not opposed to higher taxes and helping reduce the national debt IF that would actually happen.

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  28. Obama will cut the spending on War because he already said that. I think that he should cut money on programs that have to do with the welfare, but democrats support welfare programs so he could end up putting more money towards that so he might cut spending for something, but spend more in something else so he is not cutting the budget.

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  29. The war in Iraq is definately one of the things that spending could be majorly cut. Not only are we spending money on our trops, but we are spending billions of dollars for private contractors with little oversight and rebuilding infrastructure over and over again because they just keep destroying it.

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  30. I believe President-Elect Obama is going to have to pull from both right and left wing ideologies in order to stabilize the economy.

    This includes
    1. Cutting spending on the war in Iraq.
    2. Raising taxes.'
    3. reforming the drug policy and creating a major tax profit from them.

    And on the other side:
    1. Tightening welfare restrictions
    2. Eliminating unnecessary spending.

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  31. *sigh* Sorry for going along with everyone else, but i also believe that Obama should cut some of the spending that goes towards the war in Iraq. It's just been going on too long...
    ...But on the other hand I think he should cut some of the spending that goes towards other countries as well. Not to be selfish or anything, but it seems as though we keep trying to help other countries before we even realize that we're struggling ourselves. I still can't get over the hurricane business. We can help other countries in a heart beat, but when we have a catasrophe in our own country it takes MONTHS to straighten it out. Months? Really...who does that?

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  32. It's quite a mouthful to propose unchanged Iraqi war spending while, in the same breath, opposing other foreign affairs on grounds that we have too many of our own problems to worry about. I'd venture to guess that the war in Iraq is one of our largest money-suckers, presently.

    I would imagine there is great difficulty in mending our economic condition while fueling a multi-trillion dollar war machine with no goal in sight. Don't get me wrong, either; Afghanistan is another story.

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  33. Well i hate to get into the controversial topic of the war in Iraq, but i believe we are having somewhat of a success there. If the troops are to stay there, then of course we must take care of them. However, i think it is extremely wrong to spend billion of dollars on a war that seems to be going nowhere. If those billions of dollars seemed to make a difference then maybe, but to stay in the exact same position seems useless. A good solution to this problem? to set a budget. By setting a smaller budget and not allowing a penny over this said budget would help supply a small amount of money that is needed elsewhere.
    Along with everyone else i agree that welfare is an issue. If welfare is to be issued to a citizen, this person should want to make something of themselves and have some type of at least high school education. Why give money to a person who will waste it, and will constantly need to depend on welfare? If welfare can help steady a person while they try to get back on there feet, then it is a successful use of that money. If someone must continuously rely on welfare for a long and continuous amount of time, then we aren't doing any good for anyone. That person wouldn't learn the value of money or what it takes to make it in this world, and we would be wasting money so they could be lazy. A system should be set up to choose those who will use the money to become successful and steady once again.

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  34. I think we should eliminate the spending on the war in Iraq, Foreign Aid, and Farm Subsidies and reduce spending on defense. The welfare system is an area that could be looked, I agree, but for the most part the people that received welfare actually need it. I think that we should cut or reduce spending in any area of the budget that does not benefit the US in short and long term.

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