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...speeches, Reagan defended the essentials of his economic program: tax cuts, increased defense spending and reductions in domestic programs to combat inflation. He told the Tennessee legislature: "The American people are already taxed up to their eyeballs. I want to erase the red ink from the bottom line of our budget, but not by taking more money from the working people in order...
When the nation's Governors arrived in Washington last week for their annual winter meeting, they were far more concerned about the immediate implications of Ronald Reagan's red-ink budget and its drastic cuts in domestic spending than his heralded long-term plans for a New Federalism. But since the Governors had long complained about Washington's heavy hand on a multitude of federal aid programs for the states, they could scarcely ignore Reagan's potentially historic proposals. In something of an Administration victory, the Governors wound up spending most of their three days debating...
...Capitol Hill last week went Treasury Secretary Donald Regan to defend his President's red-ink budget. Regan soon learned the feelings of his own party. "Last year I was on your ship," said Senator John C. Danforth of Missouri. "But this year I'm on the dock waving bon voyage." And Danforth gave a small wave to Regan...
...Republican-controlled Senate, Minority Leader Robert Byrd of West Virginia urged Reagan simply to withdraw his proposed budget and submit one less awash in red ink. But Byrd could not resist scoffing at his Republican colleagues for bewailing the huge deficits after they had pushed through Reagan's program of tax cuts last year. "When you buy bologna at the supermarket," said Byrd, "you shouldn't expect to get home and find roast beef...
Operating losses for the nation's twelve major carriers may have reached $500 million last year, a record flow of red ink coming after losses of nearly $280 million in 1980. Revenue gains during 1981 were not enough to offset rising costs from increased fuel prices, wages, landing fees, and lost income from the air-traffic controllers' strike and reduced passenger traffic because of the recession...