A BUDGET THAT SPENDS TOO MUCH, TAXES TOO MUCH, AND BORROWS TOO MUCH -- (House of Representatives - March 24, 2009)
Mr. BROUN of Georgia. Mr. Speaker, I rise today because the American people are witnessing one of the greatest magic tricks of all time. The 2010 budget proposed by this administration and currently under consideration by this legislative body is worthy of being mentioned with the greatest illusions created by Houdini himself.
This budget proposal is on one hand being held out as addressing the challenges of our Nation while taking steps to reduce the deficit. This one hand being shown to the American people reveals the ideas of reducing entitlement spending, partially fixing the AMT, and creating an emergency reserve fund. And while the magician waves his hand and distracts the American people, the other hand is out of public view, and this is where the trick is being played. This other hand contains the real instruments of this budget: More Federal spending on more Federal programs; more taxes on all American families and small businesses; and a Federal deficit higher than in the past 4 years combined.
Simply put, Mr. Speaker, the end result of this magic trick is a budget that spends too much, taxes too much, and borrows too much. This budget proposal increases spending to $3.9 trillion, nearly one-third of the gross domestic product, a rate not seen in this country since World War II.
To put this into perspective, under this budget nearly $1 out of $3 in the entire American economy will be a result of Federal government spending. And what does this huge increase in government spending go towards?
Approximately $1 trillion will be spent on an increase in entitlement spending over the next decade. More than $600 billion will be spent on government-run health care, socialized medicine. And, more than $1.1 trillion will be spent on more discretionary spending, that is, optional spending, with several government agencies receiving budget increases of more than 30 percent.
Now, where does this great magician get the money to pay for all this increased government spending and programs? By picking the pockets of the American public.
Here, again, the great illusionist holds out one hand and claims they will only increase taxes on the rich while giving tax cuts to the other 95 percent of all of us American taxpayers. However, once again, the other hand is hidden away, and this is where the trick happens. The real result of the tax trick in this budget is more taxes on America's small businesses.
Mr. Speaker, I ask you, in these tough economic times, with rising unemployment, is a tax increase on small businesses, the engine that drives our economy, really the best course to take? How about resurrecting the death tax, which this budget does. Is that an appropriate course of action? I think not. I ask, what does an increase in capital gains taxes while cutting the tax deduction for the interest paid on mortgages do to stimulate our economy?
And I am sure that the 95 percent of Americans who are expecting a promised tax cut will find that money useful when it comes time to pay their share of the new $646 billion cap-and-trade--so-called cap-and-trade, I call it cap-and-tax--energy tax that will result in higher costs on electricity, natural gas, home heating, gasoline, and all goods and services in America.
Just looking at my home State alone, with this new energy tax Georgians will see their disposable income reduced by $941; and the State is projected to lose up to 62,000 jobs by 2020. Even Houdini can't hide these numbers.
Now, Mr. Speaker, just when the American people think they have seen the finale of this magic trick, they are then surprised with an ending twist. This is a magic twist that will be replayed for their children and grandchildren.
By their own estimates, the current deficit would decrease by half if this administration did nothing and we kept spending constant. We cannot continue this magic trick. We must stop this irresponsible budget that is being proposed by the administration.