THE PRESIDENCY: A Matter of $40 Billion

President Truman last week journeyed to Groton, Conn., for the keel-laying ceremony of the first atomic submarine, Nautilus (TIME, Dec. 17). The Nautilus is further along than the term keel-laying suggests. Many of its parts have been prefabricated; it should be in the water early next year.

Truman took the occasion to swipe at a remark attributed to Eisenhower that $40 billion could be cut from the federal taxes. Said the President: "That would leave us with about half enough money to support our armed forces even if we didn't spend a dollar for anything else."

In context, Eisenhower meant that the federal budget could be reduced $40 billion through economy, if a successful U.S. foreign policy achieved enough international stability so that the U.S. could get off its emergency basis. The President, who operates from emergency to emergency, apparently did not get the idea.