Evening star., 1947-01-10

cheney In organization and admin
istration Of the armed services. >
- National defense" as used
in this budget, is much less inclu-
sive than the category used last
year.. For example, War Department
expenditures Of GAS million dollars in
1913 for supplies to and administra-
tion of occupied areas (other than
Army pay, subsistence, and related
iten1s) are now in international
affairs and finance"
Likewise, expenditures for the
atomic energy activities of the Man
haitian District project beginning
January 1, 1947, when the Atomic
Energy Commission took control, are
shown in natural resources"
Taken together, the War and Navy
Department expenditures estimated
for the fiscal year 1948 provide fol
an average military strength Of
1,641 900 men and officers. OF this
Army strength is projected at 1,070,-
600 through out the year: Navy and
Marine strength will begin the yeal
at sos, 5000 and average $1,000.
These figures compare with an
average strength In the fiscal year
1947 of 2,108,000. " !"
Effective defense ! under modern
conditions requires us to push ahead
in scientific and archaeological fields
Toward this end, expenditures fol
research and development by the
Army and Navy are projected at 55t
million dollars in the fiscal year 194&
slightly above their 1947 rate. =
Applications for terminal leave
payments to enlisted military per-
sonnel have been smaller than ex-
pected. 1t is now estimated that
1.9 billion dollars will be paid in 1947
and only ESQ million dollars in 1948'
Outlines Funds Needed.
To finance the expenditure pro-
gram outlined above. appropriations
of 9.5 billion dollars and new con-
tract authorizations of SAL million
dollars will be necessary in the fiscal
year 1948. These totals include 262
million dollars of supplemental ap-
and 81 million dollars
of contract authorizations under
legislation shortly to be submitted.
The new appropriations needed in
l948 are about 2 billion dollars lower
than the estimated expenditures
which include provision for payment
Of substantial amounts Of unliQui-
dated obligations of prior years.
The budget for our international
program is designed to contribute to
a peaceful world and a stable world
economy. We have definite respon-
sibilities to our wartime allies and IN
occupied countries. Our interna-
tional lending program is an essen
tial part of our efforts to achieve a
world economy in which private
trade will flourish.
The period when large-scale gen
eral relief is required for our allies
Is almost over. With the termina-
ton of the United National Relief
and Rehabilitation Administration
there will remain, however, the
urgent question of refugees and dis
placed persons. -"
Foreign Spending.
The sharp decline in total expend-
itures for international affairs and
finance in the fiscal year 1s48 is due
chiefly to the fact that in 1947 we
shall complete our payment to the
international Monetary Fund and
our basic cash subscription to. the
International Bank for Reconstruc-
ton and Development -
Estimated expenditures Of 18 mil
ion dollars for our membership in
organizations consist
of our share Of the admin
Istrative budgets Of the United Ma
lions and its affiliated specialized or
ganizatiorls. In view Of the immense
tasks we have intrusted to the inter-
national organizations, this is a
modest sum. -
Expenditures by the State De-
partment are expected to increase
in the fiscal year 1948. 1t is Of ut
most Importance that the depart
ment be equipped with sufficient
funds and an adequate staff to. make
its maximum contribution to inter-
national peace. In 1948 there will be
an increase of expenditures to carry
on the improved foreign service pro-
gram authorized under the Foreign
Service Act of 1916. -
Since the main purpose OF our
veterans program is to re-establish
former servicemen in civilian life,
we must carefully avoid types OF
assistance which would encourage,
or unnecessarily prolong, depend
ence upon Government subsidy. Any
other policy would not only put an
intolerable burden upon the tax
payer, but would be great disserv-
ice to veterans themselves.
No New Program Needed. -
Although some amendments to
veterans legislation may still be re-
quired, no major new program OF
assistance appears necessary. The
job is now primarily one of effec-
tive administration. ="
In the fiscal year 1947 almost
l 100000 veterans, on the average,
are drawing unemployment allow
ances and more than 00,000 are re-
ceiving self-employment allowances,
at a time when total unemployment
in the United States is less than
$500, 900. The turnover on the allow
ance rolls has been rapid. Almost
one-half of the 14,oo0, 900 discharged
from the services have already
drawn unemployment or self-em-
ployment allowances.
In recent months tightened' ad-
ministration and a more positive
displacement program by the en-
ployment service have contributed to
a reduction in the numbers on the
allowance rolls. In the fiscal year
i948 1t Is expected that about 900 ,000
veterans on the average will receive
nearly one billion dollars in these
allowances.
On the average 100000 veterans
are receiving education and training
benefits in the fiscal year 1947. In
194S possibly 100000 will partici-
pate at cost of over 23 billion dol
lars.