Mitt Romney: The House "Has Put Conservative Fiscal Principles Into Action and Passed a Bold Budget"
“We are making progress. The House of Representatives has unanimously rejected President Obama’s vision of an America with higher taxes, unlimited spending, and expansive government.
PoliticalNews.me - Mar 30,2012 - Mitt Romney: The House "Has Put Conservative Fiscal Principles Into Action and Passed a Bold Budget"
Mitt Romney made the following statement on the vote on the budget passed by the U.S. House of Representatives:
“We are making progress. The House of Representatives has unanimously rejected President Obama’s vision of an America with higher taxes, unlimited spending, and expansive government. Owing in no small part to the leadership of Paul Ryan, it has put conservative fiscal principles into action and passed a bold budget that directly addresses the drivers of our nation’s spending crisis. The House budget and my own plan share the same path forward: pro-growth tax cuts, getting federal spending under control, and strengthening entitlement programs for future generations. I look forward to working with Congress to achieve fiscal discipline and passing a budget that moves us toward a simpler, smarter, and smaller federal government.”
In approaching the nation’s fiscal challenges, President Obama has repeatedly called for a “balanced approach,” by which he means cutting spending but also raising taxes. That may sound appealing on the surface. However, the reality is that before President Obama exploded the size of the federal government, our existing tax rates were more or less adequate to pay for the government we needed. President Obama claims now to be offering a compromise. In fact, by undoing only some of the harm he has inflicted on our fiscal health over the past three years, he would ratchet up permanently the size of government and the tax burden on the American people.
President Obama’s proclivity for fostering uncertainty about the long-term shape of the tax code is particularly troublesome. He has embraced one temporary solution after the next while rejecting permanent adjustments that would bring some predictability and stability to investment decision-making. The result is a business climate marked by hesitation. When President Obama complains about banks refusing to lend and businesses refusing to hire, he should consider the impact of his own policies on that state of affairs.
No discussion of President Obama’s tax policies would be complete without a reference to Obamacare and its $500 billion in tax increases. Whenever President Obama discusses the need for more tax revenues, Americans should remember that he already got them and spent them on a health care scheme that is itself proving to be hugely disruptive to the economy.
Reducing and stabilizing federal spending is essential, but breathing life into the present anemic recovery will also require fixing the nation’s tax code to focus on jobs and growth. To repair the nation’s tax code, marginal rates must be brought down to stimulate entrepreneurship, job creation, and investment, while still raising the revenue needed to fund a smaller, smarter, simpler government. The principle of fairness must be preserved in federal tax and spending policy.
America’s individual tax code applies relatively high marginal tax rates on a narrow tax base. Those high rates discourage work and entrepreneurship, as well as savings and investment.