Now, I realize it is tempting to blame someone else for inflation. Some blame business for raising prices. Some blame unions for asking for more wages.
But a review of the stark fiscal facts of the 1960’s clearly demonstrates where the primary blame for rising prices must be placed.
In the decade of the sixties the Federal Government spent $57 billion more than it took in in taxes.
In that same decade the American people paid the bill for that deficit in price increases which raised the cost of living for the average family of four by $200 per month in America.
Now millions of Americans are forced to go into debt today because the Federal Government decided to go into debt yesterday. We must balance our Federal budget so that American families will have a better chance to balance their family budgets.
Only with the cooperation of the Congress can we meet this highest priority objective of responsible government. We are on the right track.
We had a balanced budget in 1969. This administration cut more than $7 billion out of spending plans in order to produce a surplus in 1970, and in spite of the fact that Congress reduced revenues by $3 billion, I shall recommend a balanced budget for 1971.
But I can assure you that not only to present, but to stay within, a balanced budget requires some very hard decisions. It means rejecting spending programs which would benefit some of the people when their net effect would result in price increases for all the people.
It is time to quit putting good money into bad programs. Otherwise, we will end up with bad money and bad programs.
I recognize the political popularity of spending programs, and particularly in an election year. But unless we stop the rise in prices, the cost of living for millions of American families will become unbearable and government’s ability to plan programs for progress for the future will become impossible.
In referring to budget cuts, there is one area where I have ordered an increase rather than a cut—and that is the requests of those agencies with the responsibilities for law enforcement.
We have heard a great deal of overblown rhetoric during the sixties in which the word “war” has perhaps too often been used—the war on poverty, the war on misery, the war on disease, the war on hunger. But if there is one area where the word “war” is appropriate it is in the fight against crime. We must declare and win the war against the criminal elements which increasingly threaten our cities, our homes, and our lives.
We have a tragic example of this problem in the Nation’s Capital, for whose safety the Congress and the Executive have the primary responsibility. I doubt if many Members of this Congress who live more than a few blocks from here would dare leave their cars in the Capitol garage and walk home alone tonight.
Last year this administration sent to the Congress 13 separate pieces of legislation dealing with organized crime, pornography, street crime, narcotics, crime in the District of Columbia.