1981 Ronald Reagan - Budget Cuts

In 1981, during Ronald Reagan's first Economic Address to congress, he proposed 83 separate budget cuts from food stamps and school lunches to NASA and the Postal Service. Pretty much everywhere, except for Defense spending. Even there, the department of defense was looking at reductions in their budget requests. Reagan was facing a one trillion dollar deficit, and said that if we don't "act forcefully - and now - the economy will get worse".

Reagan summarized his plan with these words:

"Spending by government must be limited to those functions which are the proper province of government. We can no longer afford things simply because we think of them. Next year we can reduce the budget by $41.4 billion, without harm to government's legitimate purposes or to our responsibility to all who need our benevolence. This, plus the reduction in tax rates, will help bring an end to inflation."

After enumerating many of his proposals, Reagan paused for a moment and the members of congress thought he was done ... they erupted in applause. This slightly embarrassed Reagan and he replied with this quip: "Thank you very much. I should have arranged to quit right there." 

http://www.presidency.ucsb.edu/ws/index.php?pid=43425
http://www.nytimes.com/1981/02/19/politics/19REAG.html
http://www.c-span.org/video/...