US Presidency
1961

And yet, wholesale prices are actually lower than they were during the recession, and consumer prices are only 1/4 of 1 % higher than they were last October. In fact, this last quarter was the first in eight years in which our production has increased without an increase in the overall-price index. And for the first time since the fall of 1959, our gold position has improved and the dollar is more respected abroad. These gains, it should be stressed, are being accomplished with Budget deficits far smaller than those of the 1958 recession. This improved business outlook means improved revenues; and I intend to submit to the Congress in January a budget for the next fiscal year which will be strictly in balance. Nevertheless, should an increase in taxes be needed because of events in the next few months to achieve that balance, or because of subsequent defense rises, those increased taxes will be requested in January.