 I appreciate your concern and interest in the budget and what we're doing about the federal budget deficit. I understand you've been briefed in some detail on our fiscal year 1987 budget proposal, and the reasons why we believe this proposal is the best way to reduce the deficit. I know they had just a little bit of a discussion here. I think that 86 is a year of decision. The year to decide whether we have the will to last bring federal spending under control, remove the last remaining obstacle to a future of growth and prosperity. It's the year to decide whether we can make the tough decisions that we agreed to last year when the Grand Roman College legislation became law. And it's the year to make clear to the world that our commitment to peace through strength will not be compromised. It's the year to maintain our continued opposition to raising taxes, which I believe could harm the economy and take money from Americans in order to protect government programs that we don't need and can't afford. Today, deficit reduction is the law of the land. Grand Roman College mandates the declining deficit path lead to a balanced budget in fiscal year 1991. So the deficit will be cut. The big question is how? Grand Roman College's automatic spending cuts are only if Congress abdicates its constitutional responsibility and fails to pass a budget that meets the deficit targets. In other words, Congress still has a choice. It can be responsible by making those careful and sometimes difficult spending decisions or it can simply drop the ball to not be across the board cuts take over. The budget that I will soon be submitting to Congress was carefully prepared by taking into account the defense needs, the proper role of government and the Grand Roman College's deficit targets. It will meet the 87 deficit target of 144 billion without harming the economy through a tax increase or compromising our national security. It will preserve the social safety net for those in need it will not penalize older Americans by reducing social security benefits and as I'm sure Don, Cap and Jim had mentioned our budget will include a modest increase in defense to sustain recent improvements in capability. Now some will say it has too much for defense. The proposed funding levels for national security in our budget are consistent with the real growth rate, the growth path that's agreed to by myself in the Congress last year. And Cap has already told you, in spite of all the drum beat of propaganda the defense budget is a little more than a fourth of our budget and that is counter to a history, well historically back through the years defense was considered to be basically about a half of federal spending because it is the number one task of the federal government. Higher taxes are no cure for the deficit. Reducing the deficit through tax hikes I think would impose substantial new tax burdens on American households and as experience has proved, reducing incentives for Americans to work and save and invest and thus choke off the creation of new jobs. And the experience has also shown that higher taxes do not necessarily go to reduce the deficit. More often are used to justify increased federal spending. With one line that was spoken in a debate in the floor of the Senate to the back in 1913 when they were passing the income tax amendment. And I think it's something we should always remember that one senator stood up and deliberately pronounced that we had to have the tax not for government's needs but for government's wants. He thought that was a good idea but I think we've had too much of a government's wants over recent years. The current economic expansion is whether it was third years you know over nine million jobs have been created since November of 1982. Inflation, I hesitate to use the term under control. It has been brought down to a third or less of what it was when it came here but I don't think inflation is under control until it's zero. And we've been having some meetings around this table as to just how we're going to accomplish that even though we've been downing four percent now for quite some time. Nominal interest rates are coming down and are well below the levels that were reached in the 70s and early 80s. Excessive federal spending and a large federal deficit for the last major obstacle is I think blocking our path to lasting prosperity. The budget that we're sending up on February 4th will put us in the right track to a balanced budget as I said by 1991. Then I feel that we should go all out if not before then for a constitutional amendment that bans forever federal deficit spending. So we think that we'll reduce the deficit while promoting economic growth and meeting our natural security requirements. We've made the tough decisions and now it's time to see if Congress is up to the challenge of passing a responsible budget. I need your support and those of all of your colleagues and I encourage you to make your views known. We're in for a tough battle but together we can reduce the deficit and set America on a path to permanent prosperity. Now that's enough for me. I'd like to hear what's on your mind and what questions you might have. Good afternoon Mr. President. I have a very special quote to introduce you to. This is Dennis Fox. First place, best in the world on advertising design Mr. President. Congratulations. This is Kenneth Anderson who is third place in significant investments in radio and TV player. Congratulations. This is Anthony DeCellis fourth place certificate of excellence in milling. Joe House fourth place in industrial electronics. Ricky Kelly fourth place in all reveal repair. This is Aaron McKenzie fourth place in turning. This is Oscar Mercado who won a certificate of excellence in bricklaying. This is Larry Johnson an old friend chief executive also. This is Harold Lewis who is the chief director of the U.S. Geo Olympics with Vicka. And this is James Voorhees vice president of General Motors who represents 500 corporate sponsors of this program. Now I think I'm supposed to be at the 100th or something. Yes, I had. Someone who did. That was in 1983. We often play that speech. We met with two of your secretary Bennett and secretary Brock. So the touch faces and two of those important agencies involved in training. So that's good we can do quite a job on education. I just asked. Right. Great pleasure to meet you. Thank you very much. Thank you Mr. Behind you. President Alonson. Thank you. Thank you. Thank you. Thank you. How did you get in? Thank you. You read about it? I read about it. How did you set it? Good. Good. How do you do? This is an Alger here. Send me an Alger here. I don't know. I don't know. You want to show that gentleman there. That's the big Kyle. That's all. How did you do? Roger. Roger, on the screen. Congratulations, Mr. Alger. Thank you. How are you? It was great. Yes. I'm sorry. Sure, I'm happy to have you here. I'm very happy and proud. Great pleasure. I'm close to being there, and I remember that I used to have a test with my son growing up. I was just one month old. I used to do two laps in the pool, waiting for the day when he was good. I didn't know he was a boy. I didn't know he was a good player. I was ready. I didn't have another answer to it, though. I switched from two laps to one. I was not worthy of dignity on my turn. I would like to present to you this helmet that I wore last year of winning the race. So we're in winning the championship. I'd like to present it to you, and then we can wear it whenever we need it. Which is probably all the time. I'd like to have you drive me to come and get you. I think a good place to get that over is if you're not wearing it. That's great. You're very proud to have it in here, I'll tell you. There's something that we mentioned. All the answers in the court of criminal are in all of us happy. Not to everyone. Yeah, it's surprising. We used to wear a lot more. And here's a jacket for you. I'm not sure if you can do this. That's a thousand of that here. Thank you very much. We'd like to have everybody group around the president board. I screwed up. We have a book about the whole family. Thank you very much. Read that web ads. I met you in Seattle. We were waiting for a free lecture. You would call us? Yes. No. You're going to have to come to some of the races now. Between your times, right? Since I've been here. How could you get a son and a president? Super. Bobby, could you possibly get a son out? No. Watch this way, please. We would have you be with me. I'm still traveling by horse. And a sculptor has done those. And a dozen of them are. The first company that has history is the development of the western center. It starts with a 1540 spending. They're kind of interesting to begin with. In the west, in the early west, there were no fences. That's right. So the lasso came into being. And then the first time it came away. And they used to use the English war saddle that the Spaniards had left. There was a big kind of a dome on the saddle. And the first time, if you want to put a lasso on a spear, and then left the saddle head first, they began carving a notch around that big thing so that they could doll it up real quick because they now do it with a horn. And that's what led to the horn. It wasn't the same. Well, I think they won us over here. Yes, they did. This is my bottom. It won't be there if you don't open it all the time. And we used to go over every year on vacation there. And we used to go on now. You're mounting my picture. This was a card showing. Thank you. Thank you. Thank you. Thank you for your time. Thank you. That's the one I've never seen. We need to have newcomers. Probably the most fantastic sporting event you've ever seen with a crowd. I know you started the race at Daytona last year for a feature from your aircraft. Yeah. It's a real thing. You'll have to be after them to come only if you have a promise to answer the question. Well, yes. Let's see. Well, baby. Well, that's great. That's terrific. For any president. This year they're going to call it a life. But the first time in the history of the race, it's always been in the right. It's great honor for us to be here today. I'm very proud and happy to be here today as a race driver that picked you up and sort of invoke his name and when I was a sportsman, I was in Des Moines and Arne Orphi came there. He worked for Chrysler at the time and he was sport convertible and what he would do, it was a state fair. So he'd come there to appear and have to lecture on safety and driving. So I interviewed him on our station and then I had to go out to the fair and he was to us. So go out with him and you won't believe it, just go to him.