Evening star. [volume] (Washington, D.C.) 1854-1972, 1958-04-14
S. Billion Tax Cut
Proposed by Truman
Continued From First Page


Continued From First Page
product for the calendar year
1853 to about $40 billion above
the level of 1857, and for a
satisfactory rate of sustained
economic growth, we will need
to continue to add about $40
billion a year to our total ma
tional production. Increases in
economic activity of this mag
nitude will not be achieved by
feeble or faint-hearted meas
ures or by simply waiting for
nature TO take its course"
Mr.. Truman charged that in
recent years. 1--WE have been
starving the economy by hold
ing up or blocking public ex-
penditureS for domestic needs.
He recommended increased
OUTLAWS in both the national
and international budget.
More Foreign Spending
For national defense he
counselled an increase of So
billion more than the PreSi-
d:nt's recommendation and in
foreign spending a graduated
boost to SIS billion by 1864
He said this was essential if
the United States is to keep
ahead of the Russians in the
area Of foreign economic de-
velopment.
At home. he said, we should
spend SIT billion during fiscal
year 1859 for education. public
health, public assistance. and
other similar activities.
Mr.. Truman called for re-
versing the high interest pol
icies of the administration. To
do so. he said. would add an
other 50 billion a year to the
economy. which is now being
wasted from the viewpoint OF
the Federal budget and which
is doing almost irreparable
damage to our whole economy"
He also proposed an extern
sion Of Federal aid to the State
unemployment insurance sys-
TEN to lengthen the period for
the payment of insurance ben
efits.
Argument Nonsense"
Mr.. Truman dismissed as
nonsense" the argument that
the steps he recommends would
lead to imitation. To say that
is to contend that we must be
cursed with either initiation or
recession. I reject that con-
clusion as defeatism Of the
worst order"
Asked if he thought Presi-
dent Eisenhower's advice to
buy if the price is right was
GOOD advice. Mr.. Truman re-
pied, 1t certainly would be
L they had the money"
Representative Reuss. DEM
ocyat of Wisconsin. asked Mr..
Truman if one of the most
e.aring loopholes in the tax
avs was the depletion allow
ance.
Mr. Truman said that he
certainly would close that loop
hole. adding and some Of my
best friends are oil men"
About recent Republican
charges that there had been q
business slump during his ad-
ministration. he said. that re-
cfssion in l949 was nowhere
raar as prolonged. as deep and
a serious as the one we are
in now"
Not Entirely Successful
Mr. Truman conceded he
vas not entirely successful
n dealing with the economic
zee sion Of 1949. But he said
tns.e were several reasons for
Il
NJ own view" he added,
is nat the one thing we
leaned was that perhaps we
sho4.c nave acted in this l949
recession even more vigorously
thar We did, and this is doubly
trus nor in view of the whole
international situation"
Dt.endng his record during
the .9+9 gacession, Mr.. Truman
said ne sent message after
message % Capitol Hill. but
Congress failed to take much
action
This Congress is in a mood
TO TAX some action" he COM
mented
The President, in a jolly
mood, carried most questions
designec 10 pin him down to
details
When representative McVey,
Republic Of Florida, asked
whether s& public works pro-
posal m!pa. not cut the dollar
purchaslr3 power, Mr.. Truman
replied tina ch matters ARE
Greek to M but he main
tanned thai Ill, program would
do no inlgrv 10 our economy"
He said he vas Ike Mark Twain
in that he Vould take rag
money or hard money or any
other kind and recalled that a
Senator hac gone crazy trying
to analyze the dollar. Mr.. Nc
Vey responced hat he did not
thlnk the subject allowed OF
leVlty and NJ human quickly
agreed that did not.
When Representative Wild
nall Republican Of New Jersey,
complained he had a great deal
Of difficulty IN understanding
Mr. Truman va,lnttc racnFn :