February 1st, 2010
10:03 AM ET
12 years ago

Obama unveils $3.8 trillion budget

Washington (CNNMoney.com) - President Obama revealed a $3.8 trillion budget for 2011 on Monday that tries to balance two competing goals: continued government spending to boost the fragile economic recovery and controlling the nation's deficit.

The budget calls for $53 billion in tax cuts and $50 billion job-creating measures, including small-business tax cuts, as well as new investments in green technology and infrastructure programs for work on roads and bridges.

"The employment market remains weak," said White House budget chief Peter Orszag in a conference call on Sunday. "In that context, the budget focuses on job creation and middle class stability."

The budget proposes new tax breaks and incentives for small businesses that hire new employees or boost wages, which would cost $30 billion. There would also be tax breaks for small businesses that make new investments.

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Filed under: Budget • CNNMoney.com • Peter Orszag • President Obama
soundoff (44 Responses)
  1. Alex in Wisconsin

    Well let the pro tax cut people criticize the measure for it being fiscally irresponsible towards the deficit. Or let the Fiscally conservative people criticize the measure for it cutting taxes....i never know the real excuse for the partisan attacks on all of President Obama's plans, I just know that even when they are getting what they want, the conservatives will still complain.

    February 1, 2010 10:41 am at 10:41 am |
  2. mcl

    What does this guy want to do !!!!! Freeze spending, continued government spending, middle class stability, proposes new tax breaks ........ Build rail ways when Amtrack is in trouble. Good God, man............. What ever he can say to make himself look good so that the people that voted for him still believe in SOMETHING.

    February 1, 2010 10:41 am at 10:41 am |
  3. fair

    Obama does everything just for his re-election. He is going to bankrupt this country. God bless America.

    February 1, 2010 10:45 am at 10:45 am |
  4. Fitz in Texas

    I have a good idea, let's stop giving away all our money and use it here in this country. And that 2 BILLION loan Obama approved to give to Brazil for off shore drilling. How about stopping something like that, but I don't see that happening. You see the largest American stockholder in this Brazil oil company is George Soros.....the most generous financial supporter during Obama's campaign. Oh yeah, stop all those bribes that this administration does to get votes. Yeah, there's are a ton of ways to save money and cutting taxes is just one.

    February 1, 2010 10:53 am at 10:53 am |
  5. Chipster

    The American people have done this to ourselves. Our manufacturing base was destroyed by our quest for cheap (and now toxic) products from nations that don't care about the environment, either have nationalized healthcare or simply replace sick or dead employees from their overblown populations, and certainly don't need to pay a living wage because if their employees die, they simply don't care.

    But we buy the products because we care about those things and cannot produce toxic products at below the cost of living prices.

    We allowed the invasion of a nation that didn't attack us with the lame excuse of "preemptive war" against any "perceived" threat. We're still paying the price for that one.

    Right now, we demand extraordinary efforts in Haiti (why doesn't our government do more?) and when the bill is due, we'll scream that it's unfair to expect US to pay for the massive effort.

    We'll blame Obama or whomever is the leader at the time the bills arrive because that's the American way. We never want to accept responsibility for the choices we make.

    February 1, 2010 10:57 am at 10:57 am |
  6. Robert

    I've no doubt that is the best he could do minus cutting the military budget, which is badly needed in this country. We spend more on defense than the rest the world put together. After Vietnam, we never did go into peace-time spending mode. We continued spending as if we were still at war.

    This is the exact thing Dwight Eisenhower warned us against when he said the military industrial complex was getting too strong. They are. And now no president will even suggest cutting military spending, and as a result we are facing economic ruin.

    February 1, 2010 10:59 am at 10:59 am |
  7. Dean

    You want to add jobs.........Place a 50% tax on all goods manufactured ouside this country and a 100% tax on all goods manufactured outside this country that are manufactured by an American company.
    Also tax companies $20,000 per year per employee for jobs that have been outsourced to a foreign country.
    We would have no unemployment problem and a strong dollar again.

    Today this country is incapable of doing any heavy manufacturing. If we were to have another world war 2 type of conflict, where are we going to get planes that have been shot down replaced, or tanks or anything.
    There is not one place in this country capable of making steel or iron from scratch.

    February 1, 2010 11:00 am at 11:00 am |
  8. sensible Cape coral FL

    ECON 101

    You have to spend money to make money.

    February 1, 2010 11:02 am at 11:02 am |
  9. Steve in Kentucky

    Of course we don't get a chance to comment on Mitch McConnell, do we?

    February 1, 2010 11:14 am at 11:14 am |
  10. Sam Sixpack

    This article goes on and on apologizing for the proposed budget, but does not bother to tell us simple things like is it going up or down or by how much.

    Something smells like fish – again.

    February 1, 2010 11:20 am at 11:20 am |
  11. Jerry - Florida

    It's not NObama's money. So, what does he and his cronies care? He and his "circle" are going to bury this nation. They are in the process of furthering the terrorist's wishes. Actually, I am not exactly sure who are the bigger terrorists. Whether the terrorists that want to destroy the American way of life, or whether the NObama administration ends up being the biggest culprit.

    Also, we need to remind Plastic/Pop-Up Pelosi to be careful not to get her stinky "underwear" hung up at the top of the fence when it comes to health care.

    Stay tuned!

    February 1, 2010 11:27 am at 11:27 am |
  12. grrace

    Well, that's an improvement. Bush's Budget was 3.9.

    February 1, 2010 11:28 am at 11:28 am |
  13. Gary, Los Angeles

    And we were talking about Bush's billion-dollar budgets and deficits?

    February 1, 2010 11:28 am at 11:28 am |
  14. GI Joe

    The tax cuts several years ago for the wealthy did NOT trickle down to mainstreet. I wish the right wingnuts would just shut up with that one.

    February 1, 2010 11:35 am at 11:35 am |
  15. Rickster

    President Obama sent Congress a $3.8 trillion budget Monday for fiscal year 2011,a plan that is projected to add nearly $1.3 trillion in deficit spending on top of the current year's projected $1.6 trillion deficit.

    I can come to either of two conclusions.......either Barack Obama is dumber than a bucket of rocks or he is purposely trying to ruin our economy. In either case, what a horrible disaster you democrats have brought upon this country.

    February 1, 2010 11:39 am at 11:39 am |
  16. Jack

    No matter, what the President does in this arena, he'll be criticized .

    We have all out ourselves in this positions; as a financial conservative; who despises the political right and their dogma; we were all at fault and bought ourselves to this position. We are all greedy, want big returns on our investments without working for it!

    Especially my generation; "the me" generation!

    February 1, 2010 11:39 am at 11:39 am |
  17. Michael from Ventura

    What he's trying to do makes economic sense. Not just economists on the "left" think so- Too bad the gop will do their obstructionist thing- if the Dems act like we have a majority as w did we can do this.

    February 1, 2010 11:42 am at 11:42 am |
  18. stevegee

    Obama and the progressives are spending us into bankrupt oblivion. Then once the U.S. defaults on its debt, we'll all be at the mercy of guess who? The Federal Government.

    Our only hope is the conservative uprising that's growing - remember Virginia, New Jersey, and Massachusetts.

    Keep calling and emailing your Senators and Congressmen - stop the spending, stop the waste, stop big government.

    Freedom and liberty will prevail in November.

    February 1, 2010 11:45 am at 11:45 am |
  19. ThinkAgain

    Here's an income-generating idea for our country:

    1. Reveal the names of all the Americans who have hidden money in Swiss bank accounts in an effort to avoid paying taxes.

    2. In addition to their names, include their political party affiliation.

    3. Collect those unpaid taxes.

    4. Put those monies towards funding the stimulus and/or paying down the deficit.

    February 1, 2010 11:55 am at 11:55 am |
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