hi, jennifer. hi, neil. there were defense hearings on the hill about the defense budget. defense of that budget. the $842 billion budget is the largest in pentagon history and includes the biggest request ever for pacific deterrence. weapons procurement, research and development and the largest space budget ever. it s a 3.2% increase over last year, which does not account for inflation. lloyd austin and mark milley defended the budget. the story of the century will likely be the geo strategic story, likely be what was the relationship between the united states and china. are they going to end up in a war or not. we have to be really careful to make sure that our military and our capabilities are way stronger than anything that china can field. that is fundamental to deder
which is in its 80th year, if that goes out the window, be very careful. we ll be doubling our defense budgets at that point. great power competition will then become great power conflict milley warned. martha? jennifer griffin at the pentagon. also with us, general jack keane, former vice chief of staff for the army. now chairman of the institute for the study of war. thanks for being here today. obviously these are opportunities for the pentagon to speak to members of cock, to tell them the way that they see our preparation and what needs to be done. what really stood out to you as you watched this exchange today, general? well, first of all, $842 billion is a huge sum of money. there s a lot of goodness in this budget in terms of our preparedness, new ships, new airplanes and new armored vehicles. contribution in space. it is quite significant.
the president says that his budget will solve our financial problems in medicare and social security, that s not true. anything seems possible when you don t know what you re talking about. reporter: house democrats rushed to the president s defense and support his taxes on wealthy americans. it s a bold and compassionate step forward, but we have to do what should have been done years ago which is making sure that billionaires are paying their fair share, and corporations are also. it s what s led us to this situation. reporter: now, let s see what s in the budget. a 5.2% pay raise for federal employees although it s notable the average federal worker makes about twice as much as the average american worker. $842 billion for defense, a big number, for sure, but it s really a defense cut when you factor in high inflation. and many want to see u.s. forces grow to handle what officials say is china s growing like
what s not a revenue problem, it s a spending problem. we got more money ever coming in, the problem is democrats inventory increased spending by 30%. the wall street journal says the spending will increase the debt by $17 trillion, growing by more than 50% here s the chairman of the house freedom caucus. we can solve our debt crisis responsibly if we shrink washington and grow america. mccarthy is not going to cut a deal with democrats. speaker mccarthy will not cut a deal. is what is in the budget, increased taxes on those making more than $400,000.3.8 to 5%. 842 billion in defense spending, is notable is roughly 2% increase over last year which amounts to a cut when you factor in inflation over 6% rhino. defense spending has foreclosed,
$17 trillion. that would be about a 50% increase. to pay for president biden said is going to tax wealthy americans. our present federal tax system is fair, raise your hand? [laughter] i m not joking. people making $400,000 a year don t think it s fair. just begin to pay your fair share break works let s see what is in that some of things will increase taxes on those making over $400,000 as we just for the president 842 billion in defense spending. we factor in inflation. defense spending will now be at a historical load with gdp. help poor countries hundred thousand police officers across the nation for president biden to defend the police. the white house plans to approve a massive 8 billion-dollar oil