Evening star. [volume] (Washington, D.C.) 1854-1972, 1949-11-06
Economy Data Asked
By Byrd in Campaign
For Balanced Budget
By J. A. O'Leory

By J. A. O'Leory
Senator Byrd, Democrat, of Vir-
ginia. determined to make budget
balancing a major issue in the
next session of Congress, has
started calling on Government
agencies for new economy data.
AS chairman of the Joint Com
mittee on Non-essential Federal
Expenditures, Senator Byrd said
yesterday queries are being made
to find out how many persons
are receiving Government pay
ments under various acts of Con-
gress and the cost of administer
ing these benefit programs.
The Reconstruction Finance
Corp. also has been asked for a
report. he said, on certain loans
10 business concerns, the rates of
interest charged and the status
Of repayments.
The joint committee is at work
on other questionnaires. includ-
ing one that may go out soon,
calling for a new eheck-up on
the use, of official automobiles by
Government agencies.
Predicts Z Billion Deficit.
From his home in Virginia yes
terday. Senator Byrd said Presi-
dent Truman's recent forecast of
. $500, 100000 Treasury deficit
by next June 80 is too low.
The Virginia Senator said it
will be $1,000, 900. 900 for this fiscal
year. and $8,000.O00,0O0 in the
next fiscal year unless Congress
takes steps to bring the budget
into balance at the coming ses-
sion.
The Senate's leading economy
advocate said his estimates assume
national income will continue next
year at about the present level.
IF there should be a drop of
as much as 10 per cent in national
income, that would mean a fur
ther loss of $4,000, 600, 900 in gov
eminent revenue, Senator Byrd
continued. II am not predicting
such a drop, but it is one of the
possibilities that must be kept
in mind"
Senator Byrd said he does not
know how the returning Congress
would react to suggestions for
higher taxes. but added:
II am going to fight all can
for balanced budget. 1t should
be done by retrenchment in spend
ing. but it ought to be done one
way or the other"
Says Omnibus Bill Will Help.
Senator Byrd believes the de
eision of Congressional leaders to
try out next year the single pack
age appropriation bill plan he long
has advocated will help the drive
to curb spending. This omnibus
money bill will force the House
and Senate to look at the entire
budget as a whole. The relative
urgency of the amount requested
for each function of government
can be weighed in comparison
with all other needs.
Under the old system the two
houses sometimes fix the OUTLAWS
for numerous domestic programs
early in session without know
Ing how much they will be called
on to spend a month or two
later for national defense or for
foreign aid.
But while the omnibus appro-
priation bill should help the econ
omy drive. the fact that 1850 is
q congressional election year may
have the opposite effect.
The Joint Economy Committee
should have no difficulty. for ex-
ample, in finding out how many
Government checks are going out
to individuals in the form of pen
sions, veterans benefits, farm sub
sides or loans to business. But
any effort to change in an election
year the basic laws under which
these payments are authorized
would hardly be greeted with any
enthusiasm.
Law on Autos Already frightened.
The information being collected
could be used, however, in pass
ing on the operating expenses of
the agencies that administer these
laws.
Although the joint committee
Is preparing to ask for new
survey on the use of Government
automobiles. the law on that sub
ject already has been frightened
in recent years. as a result of
earlier studies by the same COM
mittee.
Congress passed a new law in
1916, defining the official purposes
for which Government automo-
biles could be used and providing
for temporary suspension, or re-
moval from Office, for violations.
Katherine Lanahan Retjres