The Daily Alaska empire., 1946-08-31
The Governments Plan for Spending
 and Saving
(St. Louis Star-Times)

toU LOUIS SJdT- llIleS)
 MT. Trumans budget estimates are-wth the pos sble exception of the military items satisfactory. Despite increased expenditures largely for terminal pay and other war-connected expenses-they indicate deficit of $l90000000 at the end of the fiscal year. instead of $4,500 100000 expected in January The President hopes that in view of rising there may be no deficit at all However, since government will feel the effect of rising prices just like any house. holder, his optimism this had better be taken with crossed fingers.
 In providing for reduction of the national debt, sressng strict economy in all government operations, and warning agast premature tax cuts, the President is the right track Even the most ardent devotees of compensatory Federal spending in bad times agree that budgets should be balanced and debts reduced in good times. In prosperity prepares for de- pression And there any who believe the present boom will continue indefinitely they too must give approval to the Presidential program if only because reduction in the debt will reduction in the claim made the national income by interest charges
 This means continuation of present tax rates, policy which will pay added dividends in the months ahead since it will drain off money from an under supplied market and thus help to keep check price imitation. In line with this general policy, the President advocates the postponement of Federal public works programs and all other expenditures which not immediately necessary
 The necessity for economy also must be brought home to the generals and admrals The made them the most open handed spenders of the taxpayers dollars. Under the pressure of turning threatened
 
 sacrificed The Army and Navy must again learn to count their dollars. The country cannot afford to pay needessy extravagant price for defense especially if this investment in equipment under the shadow of obsolecence.
 The outstanding fact in the itemized budget is the allocaton of S85O0OO00O0 for national defense almost $4000 1000 more than the January estimate of the years expenditures for this purpose This figure represents almost half of the total budget; if veterans benefits included, it well above half of all Federal outlays
 This is fact which the administration the Con- gress and the taxpayers must contemplate long and seriously well and good to talk about economy, but such talk cannot be effective unless there is a these days. With little chance for further cuts in the regular departments and less hope for re- auctions in Social Security payments, international finance charges agricultural benefits tax refunds and other expenditures to which Congress has committed the Treasury there really only two major oppor- tunities for economies
 One lies in the reduction of the national debt and the gradual tightening of it's interest burden the other is in careful reappraisal of unprecedented peace time military expenditures. It will be long, long time before these be cut back to preWar levels. Indeed that may be too much to hope for. Never theless SIS O0O000 is an enormous lot of money. It would be good idea for the administration and the Congress find in detail just what the United States will get for this expenditure With out scrutiny such national defense expenditures could make mockery of the most strenuous efforts for economy, budget balancing and debt reduction.