CNBC
March 8, 2019
The White House is expected to unveil a budget on Monday that does not balance, despite optimistic growth projections and deep cuts to discretionary programs, according to two people familiar with the plans.
The Trump administration’s budget is supposed to act as a road map for Congress to begin crafting spending legislation for the next fiscal year. The White House did not respond to requests for additional comment.
The budget also serves as a messaging document that lays out the president’s priorities and fiscal principles. For Republicans, that has traditionally meant ensuring the federal budget eventually balances — that government spending does not exceed revenues by the end of the next decade. But the administration abandoned that philosophy in its budget last year and plans to do so again this year, sources said.
The revenue shortfall is particularly notable because the White House budget is also expected to project the economy will grow at an annual rate of 3 percent, higher than many private forecasts. Achieving 3 percent growth has become a mantra within the administration, however, with officials continuing to argue the expansion is being fueled by the Republican tax cuts.
This article was posted: Friday, March 8, 2019 at 8:40 am
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