Fiscal Responsibility
Over the years, Democrats have shown our commitment to restoring fiscal responsibility by taking actions that have reduced our national deficit while investing in the American people’s priorities. During the 117th Congress, House Democrats delivered the landmark Inflation Reduction Act, which will reduce the deficit by over $300 billion while lowering health care and energy costs and taking action on climate change. In sharp contrast, Republicans jammed their 2017 Trump Tax Scam through Congress without a single hearing, gifting trillions of dollars in unpaid-for tax handouts to the wealthiest Americans and large corporations while leaving our nation with ballooning deficits. They have repeatedly held our economy hostage to benefit their irresponsible ideological agenda, whether creating artificial “fiscal cliffs,” shutting down the government, or bringing our nation to the brink of defaulting on its obligations. With other landmark legislation delivered during the 117th Congress, including the American Rescue Plan, the Bipartisan Infrastructure Law, and the CHIPS and Science Act, Democrats have worked to invest in economic recovery, job creation, all while cutting the deficit in half last year. Democrats are committed to continuing our work to restore sound, long-term fiscal management so future generations can afford to invest in opportunities, secure the American Dream, and ensure workers have the tools to Make It In America.
From the Democratic Whip Press Shop:
Add the International Monetary Fund to the list of economists, business leaders, and Wall Street executives warning of the damaging consequences of not paying America’s bills:
From the Democratic Whip Press Shop:
Yes, we know you’re tired of us quoting him, but Mark Zandi’s comments on the debt limit are definitely worth the read. Here’s a highlight:
When Republicans took the House majority, they pledged to focus on creating jobs and growing the economy. But after six months, they still haven’t put forward a comprehensive jobs agenda. While Democrats are focused on the Make It In America agenda, a plan to support job creation and boost working families, Republicans are pursuing a partisan agenda that has the wrong priorities.
We must keep moving forward with talks so that we can quickly take action to reach a balanced deal that reduces our deficit, includes spending cuts and revenues, and ensures that we pay America’s bills.
Today’s long-term budget outlook shows the urgent need to get our nation’s deficit under control. Without action, our debt will grow to be larger than the economy within the next decade: publicly held debt is projected to increase from 69% of GDP today to 101% in 2021, and twice as large by 2037. CBO described the path of debt as ‘unsustainable,’ and the longer we wait to act, the worse the problem becomes. That’s why I hope the Biden group will produce a balanced approach to start reducing the deficit now, while putting in place a process to get our budget back on track over the long-term.
From the Democratic Whip Press Shop:
Today, Federal Reserve Chairman Ben Bernanke warned against undermining our economic recovery by drastically cutting spending too quickly. Democrats agree with Republicans that we must reduce spending but we also have to ensure that spending cuts don’t harm the economy and impede job creation.
From the Democratic Whip Press Shop:
Wanted to make sure you all saw this editorial in the New York Times this morning.
Key Point: Leading Republicans — after proposing to gut Medicare — are still trying to pose as the program’s saviors. How cynical can they get?
Last week, leading economic officials joined business leaders, economists and Wall Street executives who have warned about the consequences of suggestions that America may not pay its bills.
From the Democratic Whip Press Shop:
We hope House Republicans were paying attention to the ethanol vote in the Senate today, as 73 Senators—including 33 Republicans—voted to end these tax breaks.
That’s 33 Republican Senators who finally agreed that the tax code is not off limits when looking to restore fiscal discipline.
It’s clear Republicans haven’t lived up to their pledge to focus on job creation in the past, but we hope, for the sake of the American people, that this summer is different. Democrats stand ready to work with Republicans so that we can create jobs, grow the economy and enact a plan to reduce the deficit.