COLOSSAL FIGURES IN BUDGET OF UNITED STATES

Evening Star, Issue 26185, 21 August 1947, Page 7

COLOSSAL FIGURES IN BUDGET OF UNITED STATES

(illec. 1 p.m.) WASHINGTON, August 20

President Truman, in n ■ .statement reviewing the Budget, said that the United States Government would spend 117,000.000,000 dollars for the year ending June 30, but the amount was 525.000.000 dollars less than he estimated when .he presented the original Budget last January. The Government’s income would be 41,667,000,000, which was 4,937,000,000 higher than the January‘calculation. The revised figures were phased on the continuance of employment prices and incomes at their present levels throughout the fiscal year. Mr Truman estimated that with an income tax increase of 2;100,000,000 the Treasury’ expected to show a refold surplus of 4,607,000,000, and the 258,000,000,000 dollar national debt might be reduced to 253.000,000,000. Mr Truman emphasised that, in view of unsettled world conditions and inflationary trends, it would be reckless" to fail to have- a substantial surplus, which should be applied to liquidation of the public debt.

The President indicated that additional grants to countries vn distress would be submitted to Congress during the remainder of the fiscal year. It was also imperative to maintain a •reserve for unforeseen emergencies at home. At present foreign aid programmes were estimated at 4,300,000,000 dollars, which was nearly 12 per cent, of the Budget. The national defente expenditure was estimated at 28 per cent.