This was the first drop since spending fell 1.4 percent in August.
Federal spending on those services nationally fell by half, or $44 billion, the study reported.
Because a consumption tax means spending will fall, he must do something to offset that - like lower interest rates.
Exactly where the new spending and job reductions would fall was unclear.
Domestic spending would fall from the current year's $546 billion to $521 billion in 2000.
The district's total spending for education in fiscal 1997, the current year, fell 2.2 percent, to $82.3 million.
The last time the Government cut back on research - in the 1970's when military spending fell sharply - corporations held their own.
When the figures are adjusted for inflation, spending fell by 0.1 percent.
Under the 1990 budget accord, annual military spending must fall by about $25 billion over the next two years.
But public health experts say federal spending on the disease has historically fallen short of what is needed.