U.S. President Barack Obama will announce a wide-ranging deficit reduction plan Monday that includes higher taxes for the rich, lower spending and more than US$1 trillion in savings from the drawdown of wars in Iraq and Afghanistan. Obama’s plan is the opening gambit in a new deficit fight with congressional Republicans. He has vowed to veto any legislation that tries to close the spending gap through spending cuts alone. House Speaker John Boehner, meanwhile, plans to oppose any plan that includes an increase in revenues.
FILED UNDER: U.S. budget