From reducing the deficit by 1/3 to allocating $634 billion for health care reform over the next decade, “President Obama’s new budget represents a huge break, not just with the policies of the past eight years, but with policy trends over the past 30 years,” according to Paul Krugman of the New York Times.

In addition, Obama’s budget promises to address climate change.

Obama’s budget projects revenue from cap-and-trade sales will result in $150 billion over 10 years (starting in 2012) that will be used to fund renewable energy projects.  The sale of emission permits will also create $65 billion a year to pay for middle-class tax credits.  Any additional revenue would be returned to families, communities and businesses to offset higher energy prices.  Again, this program reflects a departure from the previous administration in addressing climate change.  Krugman describes, “After years of denial and delay by its predecessor, the Obama administration is signaling that it’s ready to take on climate change,” however,  James Hansen has warned cap-and-trade is not the solution.

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