[Weekly Compilation of Presidential Documents Volume 31, Number 25 (Monday, June 26, 1995)]
[Pages 1079-1081]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
The President's Radio Address

June 17, 1995

    Good morning. I'm speaking to you from Halifax, Canada, where I've 
been meeting with the leaders of the world's largest industrial 
democracies. We've taken concrete steps to strengthen the world economy. 
We've agreed on measures to anticipate and prevent future financial 
crises, like the one that happened earlier this year in Mexico, and to 
promote economic growth in countries that will provide markets of 
tomorrow for our American exports.
    The work we're doing here is part of my administration's strategy to 
create jobs and raise incomes and living standards for the American 
people. Our responsibility is to restore the American dream, to give our 
children the chance that we've had to make America work well for all 
people who work hard.
    To do that, one of the things we have to do is to reduce the deficit 
and balance the budget. Earlier this week, I outlined my plan to balance 
the budget in 10 years. This plan proves we can balance the budget while 
we continue to invest in the things that will keep America strong, 
things like education, health care, medical research, and technology. My 
plan will keep our economy strong as we eliminate the deficit. And 
unlike other plans, my plan protects the people in our country who have 
so much to give and who have given so much.
    For example, my plan would avoid a number of cuts proposed by the 
Congress that would seriously hurt hundreds of thousands of American 
veterans. The House budget plan has proposed quadrupling the amount 
veterans pay for the prescription drugs they

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need, while cutting taxes a lot for upper income Americans who don't 
really need a tax cut.
    Under my plan that wouldn't happen. We can balance the budget in 10 
years without harming the people who protected our Nation and who now 
have to get by without much to live on.
    The Senate budget plan has similar flaws. For example, it proposes 
to deny veterans benefits to anyone in the military who is injured 
unless that injury is directly connected to the performance of his or 
her duties. Now, think about what that means. A young Army sergeant 
stationed overseas is on his way home from the movie theater one night 
when he's off duty. He gets hit by a drunk driver, and he's paralyzed. 
The Senate budget says, ``Tough luck, no veterans benefits to help you 
with the injury.''
    I think we've got a duty to help our veterans when they're sick or 
injured. But we also have a duty to balance the budget. What I want you 
to know is that we can do both. My plan cuts Federal spending by $1.1 
trillion. It does not raise taxes. It is disciplined, comprehensive, and 
serious. It won't be easy, but we need to do it, and we can.
    Let's keep in mind the purpose. The purpose is to renew the American 
dream, to grow the middle class in terms of jobs and incomes, and to 
give poor people the chance to work themselves into the middle class.
    With that purpose in mind, my balanced budget has five basic 
priorities: First, help people make the most of their own lives. That 
means that while we cut the deficit, we have to increase investment in 
education, not cut education.
    Second, we have to control health care costs, but do it by 
strengthening Medicare, saving Medicaid, not by slashing services for 
the elderly. We can maintain benefits by cutting costs through genuine 
reform, like more home care for the elderly so they can stay out of more 
expensive institutions, preventive mammograms, and respite care for 
people with Alzheimer's, and cracking down on fraud and abuse and giving 
people more incentives to go into managed care.
    Third, cut taxes, but do it for the middle class, not the wealthy. 
We shouldn't cut education or Medicare just to give people money who 
don't really need it. Instead, let's help middle class Americans pay for 
college, like the GI bill did for veterans after World War II.
    Fourth, save money by cutting welfare, but do it in a way that saves 
enough for investment to move people to work. Don't save money just by 
throwing people off the rolls or hurting their children, who are 
vulnerable through no fault of their own. The congressional proposals 
are tough on kids and weak on work. We need to be tough on work and 
supportive of children. The congressional approach will cost a lot more 
money down the road than it will ever save.
    The fifth principle is, as I've said before, balance the budget in 
10 years. We could do it in 7 years, as some in Congress want. But 
there's no reason to inflict the pain that would cause or to run the 
risk of a recession. Think about it like this: If you bought a home with 
a mortgage, you'd sure want to pay it off just as fast as you could 
without hurting your family. But if the choice was pay it off in 10 
years and pay your medical bills and send your daughter to college, or 
pay it off in 7 and go without the best care and tell your daughter 
you're sorry but she'll have to fend for herself, I don't think you'd 
have a hard time making the right choice. We can have all the benefits 
of balancing the budget without a lot of the burdens if we'll do it in 
10 instead of 7 years.
    Now, don't let anybody fool you: balancing the budget is not going 
to be a walk in the park. It will require real cuts; it will cause real 
pain. But the difference between my plan and the congressional plans is 
the difference between necessary cuts and unacceptable pain. Remember 
the goals: Restore the American dream, promote jobs and higher incomes, 
reinforce families and communities.
    This is a time when we must, more than ever before, join together to 
seize the opportunities before us, a moment of immense promise. We can 
renew the American dream, and we have to do it and do it right.
    Thanks for listening.

Note: The address was recorded at approximately 5:30 p.m. on June 16 at 
the Chateau Halifax for broadcast at 10:06 a.m. on June 17.

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