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Nation : Pentagon Proposes 2% Budget Hike

Associated Press

The Defense Department’s proposed budget for next year calls for a 2% increase in spending above inflation, no further reductions in forces and a major embrace of long-term procurement contracts, officials said today.

The spending plan for fiscal 1990 also calls for a 4.1% pay increase for the 2.1 million military personnel and sufficient money to maintain the same level of training approved for this year, said Dan Howard, the Pentagon’s chief spokesman.

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