Obama’s Plan To Reduce Deficit And Boost Growth

President Barack Obama proposed the 2011 fiscal budget of $3.8 trillion which includes $100 billion in stimulus spending, and projects current year’s deficit of $1.6 trillion.

The plan is expected to reduce the shortfall by imposing $800 billion in higher taxes and fees on banks that benefited from the financial industry bailout and the oil, gas and coal industries.

According to Bloomberg, the proposed plan reflects the administration’s struggle to boost economy and job growth as well as reduce the deficit in the coming years. President Obama also called for creating a debt commission which would recommend steps to cut the deficit.