Friday, July 21, 1961

July 21, 1961

July 21, 1961 was a Friday. JFK started the day in Washington, D.C. He wanted to spend the weekend at Hyannis Port and flew up on Air Force One.

Invited to go along on the flight to Cape Cod was liberal economist Seymour Harris. Also accompanying the President were economists Walter Heller and his mentor at MIT, economist Paul Samuelson. Kennedy wanted to talk economics with them

JFK was mulling over a proposal for a “Berlin surcharge”, a one-time, 1% increase in the personal and corporate tax rates to defray expenses incurred by the United States in protecting West Berlin.

Kennedy, like most Americans at the time, believed economic prosperity was tied to a balanced budget. The economists, dedicated Keynesians, were advocated for tax cuts to stimulate the economy.

[98, p. 197]