The nominal budget is a poor indicator of the impact of government outlays and revenues.

Currently a level of unemployment of 7% or more seems to be required to keep inflation from accelerating, a level quite unacceptable as a permanent situation.

Balancing a nominal budget will solve nothing, and attempting to achieve such a spurious balance will produce much mischief.

Increasingly prices are set by sellers to raise their prices without a loss of sales sufficient to wipe out the gain.

Practically, the desirable situation ought to be one in which any reasonably responsible person willing to accept available employment can find a job paying a living wage within 48 hours.

Deficits do not in themselves produce inflation, nor does a balanced budget assure a stable price level.

If unemployment could be brought down to say 2 percent at the cost of an assured steady rate of inflation of 10 percent per year, or even 20 percent, this would be a good bargain.