Journal Sentinel Op/Ed: End the Campaign, Get to Work
Washington,
Oct 14, 2011 -
By F. James Sensenbrenner
The President has asked Republicans who oppose his $447 billion jobs proposal to, “explain to me, but more importantly to their constituencies and the American people, why they're opposed, and what would they do.”
Well, with all due respect, Mr. President, we did that, weeks ago. House Republicans sent a letter to the President on September 16—nearly a month ago now— outlining potential areas of agreement, as well as areas of concern with the President’s proposal. But rather than engage with members of Congress who had concerns— a group which includes both Democrats and Republicans—the President left on a multi-city campaign trip through several swing states to demand that Congress pass the bill in its entirety.
The presidential rhetoric promises that government-subsidized jobs and stimulus spending will reduce the unemployment rate. Sound familiar? Two years ago the President made similar promises in order to pass the first stimulus bill. The American Jobs Act recycles old ideas that have already been tried and found wanting.
With $1.2 trillion ($821 billion in cost, and $347 billion in interest to the debt) in stimulus spending signed into law in 2009, President Obama promised unemployment would not increase above 8 percent and would create 3 to 4 million jobs. In reality, the economy lost 1 million jobs and the unemployment rate peaked at 10.1 percent and has hovered around nine percent for 28 months.
The American Jobs Act relies on the same failed principles of the first stimulus: that government spending can create new jobs spur economic growth. Since the passages of the first stimulus, economists have spoken out against the idea that short-term construction projects or infusions of government cash can make serious economic gains. One study by economists Timothy Conley from the University of Western Ontario and Bill Dupor from Ohio State University actually found the first stimulus “destroyed/forestalled” roughly one million private sector jobs.
The President’s proposal also sidesteps serious, long-term tax code reform for more of the same threats to raise taxes on job creators and small businesses. Raising taxes is counterintuitive to pro-growth tax reform, but Washington Democrats and the President have reiterated their promise to increase taxes to pay for this second stimulus. It is no wonder that economic optimism of small businesses—the generator of 2/3 of the new jobs in this country—was at a stagnant low for six months.
This week, when the Senate finally held a vote on the American Jobs Act, it was defeated with bipartisan opposition, proving the bill does not even garner support among his own party. The President’s demands to “pass this bill now” in its entirety is a political campaign, not smart policy.
The good news is that there are areas of common ground, but it is up to the President if he is willing to work with members of Congress to make real progress on these proposals.
These areas of common ground include: improving veterans’ employment opportunities, increasing domestic energy production, opening up new markets for American exports by passing three free trade agreements, and giving businesses relief from undue regulatory burdens. The House acted on these pro-growth proposals this fall; however, some of the bills are stalled in the Senate.
The President has also expressed hope in reforming our tax code to help make America more competitive globally. We can reform the tax code and lower the tax rate for businesses and individuals including small business owners to no more than 25 percent. With the highest federal corporate tax rate in the industrialized world, we are allowing other countries a competitive edge.
While the President campaigns, the economy continues to stall. In September, unemployment remained steady at 9.1 percent. Last month, only 103,000 jobs were created—48,000 of which were re-hired Verizon workers who were on strike.
With millions of Americans looking for work, I will not support the same tax-and-spend policies that have proven time and again to fall short. Now the bill has failed to pass even the Senate, clearly the President can’t waste any more time with political games. It’s time for the President to end the campaign trip and get to work with Congress passing pro-growth policies.
http://www.jsonline.com/news/opinion/end-the-campaigning-get-to-work-131827543.html
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