1.   Asked about the budget outlook for next year, Daniels suggested that the administration was likely to seek savings in many areas to pay for the war against terrorism.

2.   At least today the budget outlook is better.

3.   He predicted that debate over the issue would continue for several years, until the long-term budget outlook could be assessed again with some precision.

4.   Hopes are pinned on a change of government within the next nine months, something that could transform the budget outlook.

5.   In a sign of the rising political stakes, Bush is scheduled to speak about the budget outlook in Missouri on Tuesday.

6.   In a rare show of unity, key Democratic and Republican members of the House and Senate Budget committees came together Thursday to explain the bleak budget outlook.

7.   In preparing the annual mid-year review of the economic and budget outlook, Clinton administration economists, though without saying so directly, clearly assumed the same thing.

8.   Indeed, he said, there was some evidence that concern on Wall Street about the long-term budget outlook was already putting upward pressure on long-term rates.

9.   Moreover, he cautioned that any long-term tax plan should be phased in, in recognition of the uncertainties in the budget outlook.

10.   Other economists, joined by the Bush administration and Republicans on Capitol Hill, said the budget outlook was brighter than Dudley suggested.