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President Bush Pushes
Economic Security Agenda to Create Jobs and
Opportunity for America's Workers
The
Senate Should Pass An Economic Security Plan Immediately:
Given the
uncertain economic outlook, we need an economic security package to boost growth
now and get people back to work. President Bush called on Congress to pass an
economic security bill months ago. The House acted quickly but the Senate failed
to act, despite support for a bipartisan compromise that a majority of Senators
supported. In the meantime, more than 900,000 Americans have lost their jobs.
And, without action by the Senate, more than 300,000 workers will not find work
this year.
Economic
Growth and Job Creation Boost Surpluses - Not Tax Increases:
The
federal government is not responsible for budget surpluses. America's workers
are the engines of economic growth that create surpluses. A strong economy and
more jobs - not tax increases - are the keys to improving the daily lives of
working families and creating budget surpluses for years to come
The
President's Tax Relief Plan Will Help End the Recession Quicker:
The President's tax cut was exactly the right medicine at the right time. It
became law in May and workers began receiving checks in late August - pumping
$40 billion back into the economy and supporting consumer spending at a critical
time. Had it not been for the September 11th attack, many economists believe our
economy would have already recovered.
While
Some Blame Tax Cuts for Recession, the Facts Tell a Different Story: The
recession began in March, two months before the tax cut even became law, and at
least seven months before workers started receiving rebate checks.
Democrats
and Republicans Came Together Because the Tax Cut Was Needed:
Twelve
Senate Democrats and 41 House Democrats voted for the tax cut bill. They knew
that cutting taxes was the right thing to do for America's future economic
prosperity.
The War
and Recession Drained the Budget Surplus:
While some
in Washington have attempted to blame the tax cut for the declining budget
surplus, the facts tell a different story:
The
Recession Erased Two-Thirds of the Surplus:
The
recession and declining tax revenues drained roughly two-thirds of the budget
surplus between April 2000 and today.
Homeland
Security and War Spending Used 19% of the Surplus:
Immediately
following the terrorist attacks, President Bush and Congress rightly passed
significant spending increases for the war against terrorism, homeland security,
airline security, and emergency response. This necessary spending accounted for
approximately 19% of the surplus.
The Tax
Cut Only Used 15% of the Surplus:
Despite
the claims of some in Washington, the tax cut used less than 15% of the surplus.
The events
of September 11 weakened an already slowing economy:
- Unemployment
rose by almost 1% after September 11.
- The
airport and airline industry was entirely shut down, costing thousands of
jobs.
- The
tourism industry was especially hard-hit, costing even more jobs.
- Wall Street closed for a week, investment dried up, and the markets dropped.
- Anthrax
attacks shut down large portions of commercial mail and shipping industries.
Despite
the terrorist attacks and the slowing economy, the budget remains effectively in
balance:
The
miniscule shortfall in the budget represents less than 1% of GDP, meaning that
the budget is effectively in balance.
While some
in Washington use partisan politics as an excuse for inaction, President Bush
will continue to work toward a real, effective economic security package for
America's workers.
Paid for by the Republican National Committee.