Trump Budget Would Cut Medicaid, Rely on Rosy Growth Projection
White House’s $4.1 trillion spending blueprint relies on economic growth of 3% by 2021
The primary driver of savings in Mr. Trump’s budget comes from more than $800 billion in cuts to Medicaid, the federal-state health program for the poor, despite a pledge from the president on the campaign trail not to touch the program.
.. Mr. Trump’s budget director Mick Mulvaney said Monday much of the savings will come from changes in the GOP’s health-care overhaul bill, which Mr. Trump supports. But the administration’s budget would cut more than $600 billion from Medicaid and the federal Children’s Health Insurance Program on top of the $250 billion saved from repealing and replacing the Affordable Care Act.
.. Many economists have questioned whether the economy can grow much faster than its current pace without long-term investments in programs that boost worker productivity or help expand the labor force.
.. slash funding for disability insurance by $72 billion. Other spending cuts include $143 billion from changes to student-loan programs, $63 billion in reduced retirement benefits for federal employees, and $38 billion to curb certain farm subsidies.