Here are key points for Speaker Boehner’s address this afternoon to the Peter G. Peterson Foundation’s 2012 Fiscal Summit. Watch the full address here.
In remarks this afternoon to the Peter G. Peterson Foundation’s Annual Fiscal Summit, House Speaker John Boehner (R-OH) will renew his commitment to the principle he set forth at the Economic Club of New York one year ago – noting that the debt limit exists to force Washington to deal with its fiscal problems, and that any increase in the nation’s debt limit must be accompanied by spending cuts and reforms larger than the amount of the debt limit hike.
Failing to again meet this standard – dubbed the “Boehner principle” by Stanford economist John B. Taylor – in conjunction with the next debt limit increase means pushing American prosperity and job growth farther away, the Speaker will argue.
Instead of looking at the coming debt limit decision with a sense of dread, the Speaker will argue, we should see it for what it is: an opportunity to make needed changes that will help to put our country back on a path to prosperity and economic growth.
Our nation's economy is stuck in large part because it is stuck with debt, the Speaker will note, and the solution to what ails our economy is not more government – it's the American people. Pro-growth policies – stopping the tax hike that is scheduled to hit small businesses on January 1, cutting spending, and reforming the tax code – represent the road to prosperity, opportunity and lasting job creation.
Under the policies of President Obama, our economy continues to struggle to create jobs; the U.S. Senate, controlled by the president's own party, has not passed a budget in more than three years; and the United States has lost its gold-plated triple-A credit rating for the first time in its history.
Americans overwhelmingly reject the idea championed by the president that increasing government spending will generate economic growth. A Winston Group/New Models survey conducted earlier this year found that only 30% of Americans believe increasing government spending will generate economic growth, and 66% do not believe increasing government spending will generate economic growth. Americans also overwhelmingly believe our economy would be doing better with better policies in place.
The Speaker will be clear that the U.S. House of Representatives will act before the election on legislation to stop the tax increase that is scheduled to hit American job creators on New Year's Day 2013. He will argue that our nation's leaders should not wait until New Year’s Eve to give American job creators the confidence that they aren’t going to get hit with a tax hike on New Year’s Day.
The House will act to stop the largest tax increase in American history, and give Congress time to work on broad-based tax reform that lowers rates for individuals and businesses while closing deductions, credits, and special carve-outs, the Speaker will note.
With many enormous decisions looming regarding spending and taxes, Washington must use it as an opportunity to end the era of government meddling, micromanagement, and manipulation of our economy and focus instead on reforms that promote long-term economic investment, private initiative, and freedom, the Speaker will argue.