Budget would hurt half of US poor, CBO warns

At least half the American families living in or close to poverty would lose money if President Reagan's budget cuts take effect, the Congressional Budget Office said. The report said a conservative estimate showed 20 to 25 million people at or just above the poverty line would be hurt by the Reagan proposals for cuts in food stamps, welfare, school lunches, and public-service jobs. The administration wants to trim $5.3 billion from those four programs in fiscal 1982.

The White House shrugged off the report, noting that it had been sought by Democrats opposing the President's tax and spe nding proposals.