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In a drive to improve economic conditions and address middle-class family student loan issues, child care problems, aging relatives’ assistance and retirement savings, President Obama has initiated fresh measures in a bid to tighten Federal belt to a significant extent.

In his state of union address, President will take up the new priorities a demonstration of which was seen at a meeting at the White House. Here the President along with Joe Biden, the Vice President announced a series of tax changes and other initiatives aimed at American middle-class.

According to the President, it was not really possible to bring about a major change in the near future with these measures. However, a large bit of security that has been lost over the recent years will hopefully be restored he said. He also went on to say that Joe and he measured progress in terms of how the people of America are doing and not by how the markets are doing.

He reiterated his commitment towards fighting to rebuild economy in order to ensure a significant rise in the wages and income which is the only indication of the growth of middle class. 

There will be a hard freeze on the Federal budget deficit. There will be emphasis on discretionary spending lasting through the year 2013. The freeze however will not affect spending by the national security agencies. The freeze will just affect one sixth part of the budget.

College students will be offered significant relief, especially those who graduate with a huge student loan to be repaid. As we know, this is where students suffer a lot as they are in a situation where they have no choice but to rely on huge educational loans with enormous interest rates to finance their higher education.

The President will be providing them with relief by limiting their repayment to just ten percent of their income which will be higher than their basic allowance for living. Their present repayments yearly are capped at 15 percent of discretionary income.

This will be a creditable move as students will have a relatively bright future to look forward to. This is also an incentive for students who hitherto hesitate to reach out for student loans to fulfil their graduation dreams.

With the Race to the Top program in motion and enterprising options for students, maybe the President’s dream of bringing the country once again to the top in the field of education is set to be realized.

States are already preparing feverishly to meet the demands of the program to be eligible for funds. Initiatives are on to drastically improve the quality of education and there is a conscious effort to provide the best teaching for students most of who spend a lot of money on their education.

It is definitely a commendable effort by the President who strongly believes that education is the backbone of the country and if that is set right, everything else will automatically readjust. It is now up to the American parents and students to make the maximum out of the opportunities on offer.