The U.S. House of Representatives approved to cut 61.5 billion dollars from government programs in fiscal year 2011 ending September, as the Republican-chontrolled chamber vowed to shrink the size of government.
The vote, of 235 to 189, now goes to the Senate, where Democratic majority have made it clear they view the House cuts as extreme, saying they want to keep spending at the current levels.
The bill would slash spending on many domestic programs by 14 percent, but leave untouched some of the biggest budget items including the Social Security pension program and the Medicare and Medicaid healthcare programs for the elderly and poor.
Republicans said that Washington should stop its out-of-control spending now, not some time in the future.
"Cutting federal spending is critical to reducing economic uncertainty, encouraging private-sector investment, and creating a better environment for job creation in our country," House Speaker John Boehner said.
However, Democratic argued that over reduction of budget would derail the economic recovery and worsen unemployment situation.
"They have made matters worse - passing a spending bill that destroys jobs, weakens the middle class, hurts schools and young adults, eliminates assistance to homeless veterans, and diminishes critical investments in our future," House Democratic Leader Nancy Pelosi said.
So far, the Democratic government's budget of 2011 has not completely approved by the Congress due to the obstruction set by the Republicans. The two parties will have to reach an agreement in order to avoid a federal government shutdown by March 4, when current funding expires.
Analysts said that the budget battle between the Democratic and Republic will get more intensive in the coming weeks.
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