The President submitted his budget today that projects a $1.75 trillion deficit for this fiscal year. The huge deficit notwithstanding, President Obama did not shy away from outlining his policy priorities, such as the Health Care reform, that are going to be costly.  Obama’s budget breaks with the Bush budget practice of not including the costs of the wars in Iraq and Afghanistan, relying instead on the supplemental appropriations to finance the military operations there. On the revenue side, the budget is projecting $636.7 billion over the next 10 years after the Bush tax cuts for the wealthy will expire and the income tax rate for those who earn over $250,000 a year (for married couples) will go back to 39.6% in 2010.  The cost of Iraq war, now included in the budget, is projected to decrease, once the withdrawal of troops begins in 2011.  Credits and reduction for oil and gas companies will net $353.5 billion.  Reductions in agricultural subsidies to wealthy businesses (those making over $500,000 a year) will bring in additional revenue as well.  On the other side of the ledger, the big spending item is the Health Care fund of $634 billion, and tax cuts for lower and middle-class taxpayers of $770.1 billion over 10 years and tax-cuts for businesses of $149.4 billion. Oh, yeah, and all of this depends on the economy recovering from the recession in 2010. The weekly first-time unemployment claims were higher than the economists predicted again, jumping to 667,000 over 631,000 the previous week. Also, the Commerce Department reported that orders on durable goods fell 5.2% in January, again more than economists projected. Yesterday, the government ordered that the nation's 19 biggest banks, those that have over $100 billion in assets, undergo stress tests, to determine whether or not they have enough capital to cover losses if the economic conditions deteriorate further. The test parameters determined by the Treasury were as follows: the economy contracts by 3.3 percent this year and remains almost flat in 2010; the housing prices fall another 22 percent this year; unemployment would shoot to 8.9 percent this year and hit 10.3 percent in 2010.  According to the New York Times, Administration officials said there was no cap on how much money a single institution could obtain, declining to estimate how much money the government would end up injecting before the crisis was over. President’s budget however, did put a placeholder on $250 billion in additional funds that could be used to bail out banks.