Cuts predicted in '84 budget
New York — Congress will significantly reshape the Reagan administration's proposed federal budget for fiscal 1984, reducing increases in defense spending and enacting new tax measures to raise revenues, according to a Conference Board report released Tuesday.
The emerging budget should reflect a determined effort to hold down proposed federal deficits, which would likely remain in the $190 billion-to-$195 billion range all the way through fiscal 1985 if the administration's budget were approved as proposed. The analysis expects the administration's request for a 10 percent increase in real defense spending to be limited to about 6 percent. It also anticipates that new tax measures will raise about $15 billion in additional revenues and that outlays for a variety of domestic spending programs will be restored.