Expanding the Economy, Restraining Federal Spending
"We don't have a trillion-dollar debt because we haven't taxed enough; we have a trillion-dollar debt because we spend too much."
These words from a 1982 speech by President Ronald Reagan provide us with a timeless guiding principle for governing our great nation. Government should do its best to cut wasteful spending while giving Americans a chance to keep more of their hard-earned dollars.
This formula, which Reagan put into action with tax relief and cuts in wasteful spending, lifted America out of a recession, doubled income tax revenues and created 17 million new jobs during his presidency.
The Bush Administration and the Republican-led Congress are following Reagan’s lead with tax cuts that have helped our economy create more than four million new jobs, kept unemployment at historic lows and allowed more Americans to own homes than ever before. Just like the Reagan years, the Bush tax cuts are creating economic growth and increased revenues, which is helping us meet the goal of halving the budget deficit by 2010.
Congress is taking a closer look at reducing federal spending and making the tax cuts permanent to keep our economy strong. The solid foundation of economic growth already in place will continue - if we take the right steps now. Even as we fund the Global War on Terror and rebuild the areas devastated by hurricanes, we are looking for ways to save. Earlier this year, the House targeted 98 repetitive and wasteful programs for elimination, for a savings of $4.3 billion. By canceling these programs for good, we will see savings year after year. This year also marks the first time since the Reagan administration that domestic spending on items other than Social Security and similar mandatory government programs is on track to be lower than the previous one.
This is just a start. The House will soon consider adjusting the 2006 budget Congress passed earlier this year to find ways to pay for the unexpected disaster costs. There will be a savings of at least $35 billion, and we're aiming for more.
This is a lot of work, but House Republicans are up to the challenge. We will not let up on our efforts to limit taxes, regulations and spending to keep our economy growing. And with a more efficient and lean federal government, we can defend our homeland, rebuild the Gulf Coast, and continue reducing the deficit.
