Business: A Budget of Two Big Rises

Much more for defense and social programs, but hold-downs for the rest

Jimmy Carter this week sends Congress a 1981 budget that merrily spends money down both sides of the street. The election year program calls for substantial increases in both military and social expenditures. Spurred on by chilled Soviet-American relations, the President boosts Pentagon outlays 12%, to $142.7 billion. Concerned about attacks from his party's liberal wing and from Presidential Rival Edward Kennedy, Carter also increases spending on domestic programs by 9.4%, to $405.8 billion.

Total federal spending in the fiscal year starting...

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