During the process of cutting the costs, there were several areas that were considered hard to cut. Still, such options seem necessary to reduce the national debt. Particularly, within the scope of education, infrastructure, and research, it will be difficult to enact climate change investments, given that this will be a burden for the budget in the short- mid-, and long-term. Then, in my opinion, the defense sector should be affected by some significant cuts. The main cut is to return defense spending to 2017 levels. Moreover, it seems important to reduce foreign aid and international program spending, provide a pathway to citizenship for undocumented immigrants, and reduce the number of military personnel. Such shifts in the military sector would mean that the country is turning rather to its domestic economic affairs than participating in international conflicts. However, it is essential not to slow the development of new weapons systems. New technologies can diminish overall military costs in the future.
In the framework of social security, it was hard for me to slow initial benefit growth, but I had to. Initial Social Security payments, or the benefits a retiree gets in their first year of receiving Social Security, are now calculated in a method that enables them to increase in line with income growth across the country. Instead, all benefits would be “price indexed” under this option (Committee for a Responsible Federal Budget, n.d.). Such a solution will progressively delay the increase of Social Security payments, resulting in them being around 30% lower than presently anticipated by 2050 since prices typically rise more slowly than earnings.
Then, I would cut many costs within the healthcare sector. I was surprised not to increase medicare premiums for high-income beneficiaries, given that it would harm the principle of equality in the mentioned sector. However, I would replace Obamacare with state grants, modernize Medicare cost-sharing, reduce prescription drug costs, reform Medicare provider payments, and allow private plans to compete with Medicare. Thus, my approach mostly affects the defense and healthcare dimensions. The primary consequences can be the decline in the US’s international power and influence and re-orientation toward national interests. Such a budget will be popular with my constituents back home – an emphasis on peace and healthcare improvements seem essential today.
Reference
Committee for a Responsible Federal Budget. (n.d.). Fix the national debt.