Evening star., 1953-01-09

made by Congress in the Presi-
dents budget recommendations.
Mr.. Truman estimated Gov
ernment receipts for the 1854
fiscal year at $68.7 billion. about
the same as for the current year.
He figured the deficit would be
$50 billion next June 80, and
go up to 500 billion a year later
because of the 81 billion more
expenditures his budget calls for.
Bulk of Increase.
Bulk of the increase is budg-
eted for military services and
foreign aid. The FBI. the Voice
of America and atomic develop
ment were among other things
for which Mr.. Truman asked
increases.
His budget estimates expendi-
lures for military services in the
1854 fiscal year will be nearly
So billion higher than the cur
rent year. But he said this should
be the peak, and they should be-
gin to decline the next year.
In the face of talk in Congress
of cutting foreign aid, Mr.. Tru-
man asked $7.6 billion for mutual
security and other aid to free
nations for the next fiscal year.
a $1.1 billion increase over funds
appropriated for the current
year,.
This increase" he said, sis
required primarily because of the
urgent need to help our allies
meet certain critical deficiencies
in equipment and supplies for
their armed forces"
For atomic energy develop
ment, he estimated fiscal 1854
expenditures at $2.7 billion, an
increase of $700 million. This
rise, he said. results largely from
construction work on new facil-
tiles that will significantly in
crease "our ability to meet the
threat Of aggression"
$3.50 Million for Civil Defense.
Mr.. Truman asked Congress
to appropriate $3.50 million for
civil defense, more than three
times the current appropriation
of $43 million. But he estimated
that actual civil defense ex-
penditures would decline from
$84 million this year-nearly
half this a carryover from pre-
vious appropriations-to $74
million because of anticipated
delays in deliveries of medical
and engineering supplies.
Recent advances in the tech
niques of warfare make it i'm
perative that we Immediately
provide the essentials of a civil
defense program, he declared.
II have repeatedly warned that
failure to do so could leave
a fatal gap in our security struc-
ture."
While expressly stating that
he was not budgeting for any
specific new legislative proposals
because he won't be President
much longer, Mr.. Truman did
not hesitate to urge funds for
continuance or expansion OF
some controversial programs al
ready on the books.
Would Continue Controls,
He said he believed it Is nee
essary to continue the expiring
Defense Production Act, includ-
ing price, wage and rent con-
trolls. He budgeted $54 million
for administering them.
He also made it clear that he
believes tax increases voted after
the outbreak of fighting in Korea
should not be permitted to expire
as they now are scheduled to do
over the next 18 months
His budget estimates were
based on the assumption that the
taxes will go down as scheduled.
But he said this will cost the
Government So billion in revenue
in fiscal 1854, and about four
times this much in later years.
The continuing rise in national
security costs and the prospect
of 500 billion deficit pose an
immediate and serious problem
in tax policy" Mr.. Truman said.
He added that he did not want
to make any specific recommen-
dations but that he did not think
it wise to plan for large budget
deficit in these times. The
course of prudence and wisdom"
he said, would be to continue
to strive for a balanced BUDGET