Imperial Valley press., 1939-01-05
CONTINUED from Page y

- SoilSl CoSIOlldl eCOHOIIly DlOC
Is actively hostile But he
rejected economy pleas of con-
serVatiVe New Dealers to cut gov
ernment costs. He asked $422 ,000,-
900 in new taxes. He proposed u
$1,000, 100000 military and semi
military defense program.
This annual pudget message
sharply remined congress that Mr..
! Roosevelt had not been throwing
the taxpayers money out of the
window.
He projected for next year the
10th successive year of federal def
icit-$3 1876 100000 this time-and
the second highest spending pro-
gram in New Deal history. The
current year is tops at So, 1927 ,OOO,-
600.
The 10 year depression-recovery-
depression cycle, beginning in the
Hoover administration and pro-
jected through the next fiscal year,
makes this kind of a record:
Total receipts, SAL OBS 100000
Total expenditures, $683l2 1000, 600
Aggregate net deficit $27,279,0O0,-
900
National debt increase, $28,273,-
100000
Mr.. Roosevelt said well spent.
Let us all fix that fact in our
minds" he said, so that there
shall be no doubt about it and so
that we may have a clear and
intelligent idea of what we have
been doing.
I'VE have not been throwing the
taxpayers money out of the WIN
dow or into the sea. We have been
buying real values with it.
Let me repeat: The greater
part of the budgetary deficits that
have been incurred have gone for
permanent, tangible additions to
our national wealth. The balance
has been an investment in the
conservation of our human re-
sources, and 1 do not regard a
penny of it as wasted.
1T would be unWise either to
curtail expenditures sharply or to
impose drastic new taxes at this
stage of recovery"
The budget message pointed the
national debt close to $445O00OO,-
600 as of June 30, 1910 which is
but $500000,000 short of the legal
federal debt limit. 1t will be neces-
Sary at this session to ask con-
greSs to increase that limit
Mr.. Roosevelt called for enact
ment of $1,000,000000 in taxes of
which $422,000,00O would be new
revenue to pay farm subsidies and
emergency national defense costs,
and $50,000000 to $600,000,O0O a
continuation of expiring manufac-
turer'S excise taxes.
Mr.. Roosevelt did not Stipulate
new revenue sources but is under
stood to favor the inheritance or
estate-taX type of levy to a pro-
ceSSing tax or other impoSt which
would reduce consuming power
His other recommendations we're:
l. Continue three cent letter
postage
?. Make the Civilian Conservation
W. 20 poi llil app OiL "
$285 10000 for it in the next fiscal
year.
The spending program the def
cit and the national debt bulge will
raise a congressional storm after
yesterdays demonstration by Re
publicans and a scattering of DEM
ocratS in favor of economy when
Mr. PnncnHa1t IN, hi
sage on the state of the nation,
revealed his determination to spend.
He based his spending theory on
confidence that government money
will prime the pump to a sustained
business recovery.
Revenues Increase
AS business improves federal rev.
enue from current tax structure
will increase. The national income
now is around $60,0O0,000,000. The
presidents objective is $80OOO,OOO,-
900 or more year.
Existing tax schedules would
raise approximately $5,5200 900 900
if levied on a 60000000,000 ma
tional income. Mr.. Roosevelt eSti-
mated that tax rates would raise
Sc 000,000,000 annually on a nation
al income Of $4,000, 100000; So
000,000,000 on $80,000,0OO0OO; and
$10,600,000 if the national in
come zoomed to $90,OOOOO0,OOO.
He will present detailed national
defense plans to congress next
week with a warning that times
have changed with the airplane
and that there will be no opportu-
nifty to train men against the next
attack. He proposed slips, 900 900 |
to carry out normal defense COM
mitments and an additional $780,
100000 program of which $210,-