White House Projections Include Steep Reductions In Medicare, Medicaid Spending

The Wall Street Journal's Real Time Economics: White House Projects Larger Savings On Big-Ticket Items In New Report
Buried in the White House's annual "mid-session review" budget update on Friday are some steep reductions in projected spending for some of the government's largest expenditures -- Medicare, Medicaid, Social Security and interest on the debt. The White House on Friday updated its outlook for the U.S. economy, forecasting that the unemployment rate would be lower and deficits would be smaller than the Obama administration previously expected. The White House, however, lowered its projection for economic growth, saying it sees the U.S. economy growing 2.3 percent in 2012 and 2.7 percent in 2013. Previously, the White House expected growth of 2.7 percent in 2012 and 3 percent in 2013 (Paletta, 7/27).