The US president Joe Biden proposed a USD 6 trillion budget on Friday for the fiscal year 2022 starting October 1. The US has massive plans for investment in education, transportation and fighting climate change, thus positioning the country to compete better against China. This budget is going to take the US to its highest sustained levels of federal spending since World War II.
“Where we choose to invest speaks to what we value as a Nation. This year’s Budget, the first of my Presidency, is a statement of values that define our Nation at its best. It is a Budget for what our economy can be, who our economy can serve, and how we can build it back better by putting the needs, goals, ingenuity, and strength of the American people front and center. ” – President Joe Biden.
The President’s Budget details his proposals to advance the agenda of rebuilding a new American economy this year. It includes the two historic plans of the President already put forward, is the American Jobs Plan and the American Families Plan. The budget also includes reinvestments in education, research, public health, and other foundations of our country’s strength. The Budget calls on Congress to take action this year to lower prescription drug costs and expand and improve health coverage.
The budget also proposes changes to the US tax code that includes reforming the corporate tax code to incentivize job creation and investment in the U.S. and revitalizing tax enforcement to ensure high-income. Americans will pay the tax they owe under the law, and eliminate loopholes that reward wealth over work.
According to the document released by the White House, the American Jobs Plan is an investment in America that would create millions of good jobs, rebuild the Nation’s infrastructure, and position the United States to out-compete China. The American Families Plan is a historic investment to help families cover the basic expenses that so many struggles with now; lower health insurance premiums; and continue the historic reductions in child poverty in the American Rescue Plan Act of 2021 (American Rescue Plan).
Therefore as per the blueprint released by the white house the major investments in the budget remain for 3 proposals namely USD 2.3 trillion for the American Jobs Plan, USD 1.8 trillion for the American Families Plan and USD 1.5 trillion for discretionary spending for the year 2022. Biden has also proposed 756 billion US dollars for defense spending which also remains more than the previous year. In total, with additional spending on mandatory programs, the US Budget for 2022 would spend 6 trillion US dollars.