Evening star., 1947-01-10

balance Of supply with demand and
so avoid excessive expenditures for
price support. We should facilitate
the transfer of unnecessary farm
labor and resources from agriculture
to industrial and other pursuits. We
shall need also to devise ways of
supporting farm income which will
retain export markets for wheat,
cotton, and tobacco, and at the
same time give the American con-
sumner the benefit Of increasing
efficiency in farm production.
For the present, the high
level Of farm prices has made price
support outlays unnecessary except
for a few commodities such as pota-
toes and eggs.
In 1913, however, even with con-
tinued general prosperity, an esti-
mated $50 million dollars will be
spent to support agricultural prices.
Larger outlays will be required
should markets weaken seriously.
=
Commitments for payments to
farmers under the Agricultural Ad-
justment Administration conserva-
tion and use program for the 1947
crop year have already been made
as provided by the 1947 Appropria-
tion Act. Expenditures for this pro-
gram, including administrative ex-
penses, are estimated at 311 million
dollars in the fiscal year 1948.
A year ago the budget message
recommended gradual reduction of
these payments, and that recon-
mendation is now renewed. More
than 60 per cent of the total pay
ments go to about one ne-eighth of the
Nations farmers.
Would Limit Funds.
We should shift our effort from
this kind of subsidy to providing
technical guidance to all farmers
for soil conservation and manage
ment, along the lines of the Soil
Conservation Service and the Ex-
tension Service. therefore propose
that the Appropriation Act limit
the conservation and use program
for the crop year 1948 to 200 million
instead of the 300-million- dollar pro-
gram to which we are committed
for the crop year 1947. This will not
affect expenditures materially until
the fiscal year 1949.
-" To carry out our agricultural
programs, I recommend that the
Congress appropriate 824 million
dollars for the fiscal year 1948. '
In order to push forward basic
research in development and use
of atomic energy, am recommend
ing program which will involve
expenditures of 444 million dollars
in the fiscal year 1948. This COM
pares with total outlays Of 385 mil
lion dollars in the current fiscal year,
of which ITO million dollars are
shown in national defense"
(The President listed expendi-
lures by the Department Of the
Interior for land and water re-
sources and for activities of the
Forest Service, Bureau of Mines
and the Geological Survey Some
progress has been made I'm the
development of Alaska, he re-
ported, but it is only begin
ning)
Recommends 779 Millions.
80 Appropriations of ITO million
dollars for resource development in
the fiscal year 1948 include an esti-
mated supplemental of 4 million
dollars for the Forest Service. The
total is substantially below estimated
expenditures for that year. =
The sharp upward trend IN ex-
penditures by the Department Of
Commerce for civil aviation results
from the rapid expansion Of the
industry. Inadequate facilities and
services have caused serious con-
gestion and threat to air safety.
The expansion and modernization
Of the airways system provided in
these estimates is essential for the
continued progress of the industry
and could not be reduced without
great risk, 's'
Unless legislative action is taken
to revise postal rates, the Post Office
deficit threatens to be the largest
in history. Mail volume has ex-
panded enormously, but current OPP
Grating costs have increased even
more rapidly. This is the chief
cause of the deficit. -
The Post Office Department is
studying its operations with view
to introducing economies. I am in
structing the Postmaster General to
institute all operating economies
consistent with reasonable service
and to prepare comprehensive
recommendation for rate revision
sufiicient to wipe out the deficit.
-" Appropriations Of 1876 mil
lion dollars are included in the
budget for the fiscal year 1948 for
Transportation and conmunica-
tion," compared with estimated ex-
penditures OF 1880 million dollars.
go
Urges Service to Business.
Now that we are returning to
peacetime economy that depends
for its success on private enterprise,
the Government should resume and
expand its services to business, in
cluding both financial and nom
financial aids. In addition, free en-
terprise depends on positive Govern
ment action to preserve competition
and control monopolies-proper
functions that a democratic gov
ernment must not neglect.
The peacetime regulatory agencies
- must be strengthened from
low levels justified during the war
by the existence Of other direct con-
trolls. This budget, therefore, pro-
vides for the necessary increases In
such essential agencies as the Fed
eral Trade Commission, the Federal
Power Commission, the Antitrust
Division (Justice) and the Tariff
Commission. -"
To provide necessary information
IS @r G