SHRINKING BUDGET DEFICIT -- (House of Representatives - July 13, 2005)
(Mr. RYAN of Wisconsin asked and was given permission to address the House for 1 minute and to revise and extend his remarks.)
Mr. RYAN of Wisconsin. Mr. Speaker, the Office of Management and Budget just released their deficit figures today. It is very telling.
A year ago, we projected the Federal budget deficit would be $521 billion. This year we projected the deficit would be $427 billion. Well, the budget deficit just came in at $333 billion. Down $94 billion this year, down $188 billion from last year. This is progress.
Mr. Speaker, why did this happen? Two reasons. When we cut taxes 2 years ago almost to this day, we increased economic growth in jobs. Many people said when we were going to cut tax, by cutting taxes on families and small businesses and job creators, we would blow a hole through the deficit and increase the deficit.
What happened? Tax receipts from those taxes went up. Taxes receipts are up. There has been a 41 percent increase in corporate tax revenues, 17 percent increase in individual income tax revenues. Because we lowered the tax on workers and people, we grew jobs and have more tax revenues coming in.
The next thing we have to do is watch our spending. That is why it is important we kept the level on spending as we have done this year. We need to stay on this course to get rid of this budget deficit once and for all by growing the economy, keeping taxes low and keeping the lid on pending.