The reductions in expenditures already accomplished, together with those now proposed, justify the tax reductions which took effect January 1 and the further tax revisions I am recommending.

This budget continues the progress that has been made during the past year in reducing both requests for new appropriations and Government expenditures.

New obligational authority has been reduced 15.5 billion dollars and estimated expenditures have been reduced 12.3 billion dollars since this administration took office.

We must restore conditions which will permit traditional American initiative and production genius to push on to ever higher standards of living and employment.

This order shall become effective at the close of business on December 31, 1953.

The nation is faced with basic issues that must be resolved in every one of the areas that you have selected for study.

Among the concerns of our government for the human problems of our citizens, the subject of health ranks high.

We are determined to do everything we can to put into effect sound principles of management in the conduct of the affairs of government.

The health of our people is the very essence of our vitality, our strength and our progress as a nation.

This illustrates the seriousness of the problem of medical costs.

The purification of drinking water and the pasteurization of milk have prevented countless epidemics and saved thousands of lives.

I recommend the establishment of a limited Federal reinsurance service to encourage private and non-profit health insurance organizations to offer broader health protection to more families.

The best way for most of our people to provide themselves the resources to obtain good medical care is to participate in voluntary health insurance plans.

The country is to be congratulated that you have once again been willing to undertake leadership in this work.

Equity dictates that this defect be remedied.

To help individuals provide for that security--to reduce both the fear and the incidence of destitution to the minimum--to promote the confidence of every individual in the future--these are proper aims of all levels of government…

This variation in Federal participation is the result of a Congressional determination that the Federal sharing should be higher for States which, because of low resources, generally make low assistance payments.

The system is not intended as a substitute for private savings, pension plans and insurance protection.