Evening star., 1936-01-06
The Budget.

In his budget message to Congress
today President Roosevelt gives his
accounting of Government finances, not
only as proposed for the fiscal year 1887,
but covering his entire term of office.
Throughout the message the President
speaks confidently of the future. To
support this note of confidence the
President recites the material gains IN
Government receipts, as estimated Tor
the next fiscal year, when compared to
the revenues of the earlier years OF his
administration. He recites too. de-
creases year by year in the size OF the
Government deficits at the close of each
fiscal twelve-month period.
The President estimates the deficit
for the coming fiscal year, which closes
June 3O 1887, at 81 900. This is
about s2,136, 100000 less than the esti-
mated deficit for the present fiscal year,
ending next June. This is an astound-
ing reduction. 1t gives hope, indeed
that the day is approaching when the
governmental budget may be balanced.
There is, however, as the President eX-
plains chance that the deficit may be
greater than at present estimated for
the fiscal year 1887. For the President
has failed to include in his annual
budget any new appropriations for re-
lief
Judging from the past and the fervent
insistence by the New Deal administra-
ton that there must be adequate relief,
and from the huge sums which have
been appropriated in the name of re-
covery and relief, the estimates which
the President is expected to send later
to Congress for relief may be so material
that the deficit now estimated may have
to be sharply revised upward. But that
is a matter for the future. At present
the picture as given by the President
Is decidedly hopeful.
The President at the outset Of his
budget message recognizes the falla-
bility of humans. He says: mo mortal
Is permitted unfailingly to predict the
future. This is particularly true of esti-
mates which relate to the money values
Of property and services in a world of
nations torn by disSension, by violent
price fluctuations, and by forebodings
Of the future" His predictions as to the
total expenditures Of the Government
for the year 1887. therefore, must be
taken with that warning in mind.
In support of his course in sending the
budget to the Congress minus estimates
for new relief appropriations the Presi-
dent points out that he will be in much
better position two months from now to
estimate what the needs of the country
for relief will be. There will remain, at
the close of the present fiscal year, he
estimates, about $1,101 900 900 allotted
for relief works. Upon the amount re-
quired in excess of this sum, he points
out, will depend the total of the amount
which he will ask of Congress in new
appropriations for relief.
II the President has sent his budget
to the Congress with one of its wings
missing, at least it is only temporarily so.
Naturally the President is anxious to pre-
sent to the country as hopeful picture
Of the financial condition of the Gov
ernment as may be. He mentions in his
message many things which tend to
show an improvement. One is ma
al H. s,.kA
through the refinancing of Government
obligations. A billion dollars annually
Is saved to the Government, for example,
through the reflnancing of the Liberty
bonds. The credit of the Government,
the President insists, is better than it
has been for the past seven years, de-
spite the fact that the public debt has
risen to the thirty billion dollar mark.
Into his budget message the President
has also written the fact that he has
included in the regular, and presumably
permanent, activities of the Government
two of the New Deal measures which
originally were proposed as emergency
measures-the benefit payments to farm
ers under the A. A. A. and the operations
Of the Civilian Conservation Corps.
Outside of items for relief, the Presi-
dent points out that the Government
budget, according to estimates, will be
balanced in the fiscal year 1887. Indeed,
there will be a margin of $5,000,000 in
favor of the Treasury. The rub comes,
of course, in the measure Of the expendi-
lures for relief, which will lie somewhere
between the $i,lol 100000 which will be
carried over into the next fiscal year
and the total sum finally expended for
relief.