The Biden administration in the United States has announced a ``budget statement'' for the new fiscal year, and while increasing the defense budget, it aims to reduce the fiscal deficit of more than 400 trillion yen by raising the tax rate for high-income earners.
On the 9th, the Biden administration announced a ``budget statement'' that shows Congress the government's thinking on the budget for the new fiscal year starting in October.
In this, he once again clarifies his stance against China, saying that he will make important investments to overcome China.
The total amount of expenditure required is $6.883 trillion, or more than 940 trillion yen, an increase of 8% from the previous fiscal year.
Of this, defense spending increased by 3.3% to $886.4 billion, including assistance to Ukraine.
On the other hand, it aims to reduce the fiscal deficit by a total of 3 trillion dollars, or more than 400 trillion yen in Japanese yen, over the next 10 years, including raising the tax rate for high-income earners and ▽ raising the corporate tax rate.
However, it has announced a policy of refusing to cut social security benefits demanded by the opposition Republican Party.
The U.S. government has reached its maximum borrowing limit and is securing immediate funds through temporary measures to avoid defaulting on its national debt.
In order to raise the upper limit further, the cooperation of the Republican Party, which holds a majority in the House of Representatives, is indispensable, and it seems that the bargaining between the ruling and opposition parties will intensify in the future over spending cuts.
President Biden `` Reflect what you can do without burdening the people ''
President Biden said on the 9th that the budget statement he will address in eastern Pennsylvania and submit to Congress ``reflects what we can do to avoid burdening the hardworking American people.''
After that, he said, ``In the two years since he took office in 2021, we have made a lot of progress, and people's lives are starting to improve, but we must move further,'' he emphasized the idea of tackling policy issues.