A draft of the first budget proposal for the administration of President Donald Trump leaked on Monday, revealing major details of President Trump's plans for the future of United States fiscal policy. The budget the administration has proposed has called for an increase of fifty-four billion dollars in defense spending with corresponding cuts in other programs.
Massive increase in military spending; cuts to State Department, EPA
The proposal Trump and his administration have made is the first in a long process to determine the federal government's budgetary spending.
The actual budget will be subject to a long decision making process in the House of Representatives and the Senate, which is to set spending levels in accordance with the Congressional Budget Act of 1974. However, the proposal is still a useful outline for determining the priorities and objectives of the new administration.
Trump campaigned for the presidency using rhetoric that showed support for America First-style initiatives, and his proposal reflects these choices. He plans to increase American federal defense spending by $54 billion dollars, and offset these costs with deep cuts to the State Department, the Environmental Protection Agency, and other social safety net programs.
Many have questioned the decision to increase American military spending.
The United States already spends nearly $600 billion on annual defense spending, more than many of the closest countries' spending for defense combined. In sharp contrast, the State Department and foreign aid, two areas where Trump plans deep cuts, have an annual budget closer to $50 billion. Analysts and political pundits are worried that these fiscal decisions will lead to a decrease in American diplomacy and humanitarian efforts abroad and increase reliance on American military power and aggression.
Administration will defend Medicare, Social Security
Treasury Secretary Steve Mnuchin has stated that, while many programs will face cuts, the administration will not propose cuts to the federal government's two largest entitlement programs: Social Security and Medicare. Mnuchin stated that tax reform is his biggest legislative priority.
