The battle over debt in the US will return to centre-stage when president Barack Obama is expected to outline his latest budget proposals.

Much of what he will announce on Wednesday is known and is already creating controversy, such as slightly reducing the amount of welfare for the elderly and making cuts to their healthcare programme.

In exchange, he wants Republicans to agree to raise taxes on the wealthy.

Al Jazeera's Patty Culhane reports from Washington.

Source: Al Jazeera