For example, the president claims a balanced budget could be achieved by 2012 and 2013. This is based on assumptions that are almost laughable. The budget assumes that Congress would allow the exemption of middle-class families from the Alternative Minimum Tax to expire. The AMT, originally designed to hit only the wealthiest Americans, now threatens to ensnare much of the middle-class. And last year, Congress passed a $50 billion patch to keep middle-income Americans from getting hit. So from a political standpoint, it’s highly unlikely that Congress will not continue to extend this exemption. Additionally, the president’s budget assumes no cost after 2009 for military activities in Iraq or Afghanistan. Again, is it likely that the U.S. will spend zero dollars there in the next few years?

At the same time, the president’s budget ignores crucial human needs, even at a time of an economic downturn.  Indeed, the priorities outlined are dubious, if not altogether backward. The Low Income Home Energy Assistance Program (LIHEAP) would be cut by $570 million or 22 percent (before adjusting for changes in energy prices, which have skyrocketed), which would eliminate energy assistance for more than one million low-income families and elderly people. The president proposed slashing the Section 8 housing voucher program (one of the nation’s most effective in providing affordable housing), which would deprive 100,000 low-income households of rental assistance. And if the president’s proposed budget is enacted, 200,000 fewer low-income families would receive federal assistance for child care (this would be the seventh consecutive year of frozen funding for the program).

The House and Senate mark up their own budget documents this week. In the coming months, we'll likely see a battle royal between the president and Congress. Stay tuned.