President Reagan, in a Reader's Digest interview released yesterday, indicated once again that he wants to stick with his economic plan and not raise taxes.
"I am convinced that as the economy expands, the government is going to get more revenue," Reagan said.
The president's economic advisers have urged him to seek tax increases to reduce the deficit for 1983 and later years in the budget he will send to Congress next month.
Reagan is counting on a growing economy to balance the budget, something many fiscal experts believe is impossible following last year's large business and personal income tax cuts.
"We have to have a balanced budget," the president said in the interview. "My promise was that '84 was the target, and I hoped that we could do it even sooner. But things happened that could not have been foreseen.
"I first announced my economic plan in September during the campaign," he continued. "By the time I took office, economic factors had so changed, the economy was so much worse, that my plan and the figures on which it was based had to be altered.
"What we've got to do is get back to a normal kind of economy, where you spend within your means, encourage production, then go forward. It's the progress toward the balanced budget that's important, not the year it happens," Reagan said.
The president added, "We must have one because every nation in history that has accumulated an upayable debt has collapsed."
On another matter, Reagan said the United States could no longer effectively impose a trade embargo on the Soviet Union without help from other countries.
For instance, the grain embargo against the Soviet Union which he lifted last April 24 was largely ineffective, he said. "I'm afraid the American farmer was hurt worse than the Soviet Union was by that embargo. We've learned that the United States alone in today's world cannot effectively embargo the Soviet Union."
Nevertheless the president recently imposed a new set of trade sanctions on the Soviets after the declaration of martial law in Poland, sanctions in which most other nations have not joined. The restrictions cover industrial and construction equipment the Soviets need to construct a major natural gas pipeline to Western Europe.
Reagan also said tightening the U.S. trade embargo on Cuba should increase pressure to stop Cuban backing of revolutionaries in other Latin American countries.
"I think tightening our trade embargo is of help because Cuba's economy is in desperate straits," he said.
"The goal should be to hope that Cuba would see that they have tied themselves to the Soviet Union in such a way that they've become a satellite, and that they would be far better off if they were one of the family of American states."