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16 Tax Foundation's Washington News 1 (1964)

handle is hein.tera/wingnews0018 and id is 1 raw text is: 920 Washington Building Washington 5, D. C. President Johnson's first State-of-the-Union messag:e was foatured by the emphasis upon domestic problems and programs, as op'osCd _o inte;r- natiinal affairs, and by the somewhat unusual amount o. adv,:: in- ma- tion he chose to reveal with respect to the new budget to be presented on January 21. The Chief Executive's emphasis upon enactment of tfe p< ing tax re- duction and civil rights measures was not unexpected, -.ind t a h- - 'een previous discussion of Administration plans to wage a war c pov: . Nevertheless, his proposals to provide the most Federal support i- is- tory for education, health, retraining the unemployed, and nelpi- the economically and the physically handicapped involve an ex: ely a vy legislative program which unquestionably will be examine-d a!a :i carefully in the weeks and months ahead. There are not many, eveni It this stage, who would wager that the program outlined by the President can be acted upon by this summer, as he suggests -- or that all this can be done without any increase in spending. In a rather informal press briefing prior to the delivery of his message to Congress, the President appeared to lay down a priority list, in this order -- the tax bill, civil rights, the war on poverty pro- grams, and medical care for the aged under social security. The detailed proposals, however, add up to a much more imposing list: a special pro- gram to aid the chronically distressed areas of Appalachia; expansion of the area redevelopment program; the youth employment programs; crea- tion of a domestic peace corps; major changes in the unemployment in- jurance program; extension of the minimun wage; special aids for teacher training and counseling; revision of urban renewal and housing programs, including, apparently, some new housing programs; and others, including Federal assistance for mass transit development. The Presidentts revelations about the new budget provided answers to a few questions, but left many others unanswered. His proposed spending total of 397.9 billion was something of a surprise -- speculation had cen- tered around $100 billion or a little more. The reactions, however, gen- erally have been cautious, although his statements on eliminating waste and extravagance apparently impressed many, even among economy advocates. One 1ashington press story yesterday said Administration economists were insisting that the new budget involves less austerity than meets the eye, and suggests the $97.9 billion spending total was accomplished in part through the use of budgetary gimmicks. In any event, it is certain that the President's budget will be scru- tinized with the greatest care -- and as another Washington writer suggests, until the detailed budget is submitted, it will be difficult to asse ,s the validity of his estimates.

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