Since day one, House Republicans have said we need to manage down our debt and focus on long-term economic growth. For two years, President Obama has ignored the nation’s long-term fiscal challenges. He failed to put forth a budget to address the debt, failed to focus on jobs, and has continued to push for higher taxes – while fighting spending cuts every step of the way. By attacking S&P for their downgrade, the Obama Administration highlighted the President’s inaction on these key issues. In contrast, House Republicans began the year focused on getting our fiscal house in order by fighting for spending cuts in the Continuing Resolution to fund the government, putting forward a serious budget that takes real action to addresses the main drivers of our debt, and achieving spending cuts greater than the amount of the debt ceiling increase for the first time in our history.
Instead of bashing a rating agency, the President should finally recognize that our country faces an unsustainable debt situation and it will take real reforms, spending cuts and meaningful changes to fix it and get our economy going again. It is time for the President and his party to join us on common sense measures to bring down our debt and boost long-term economic growth and job creation without raising taxes on working families and small businesses. As Leader Cantor said on Friday, “We need to make sure that we stop spending money that we don't have and don’t continue this kind of borrowing, and focus on growing this economy. We've got to make it easy again to do what America does best, which is to innovate and create jobs.”
Today the President will speak at 1 PM. Where will the buck stop this time?
Today In History: In 1988, the Chicago Cubs host the first night game in the history of Wrigley Field. Today, the Cubs are the only major league team that still plays the majority of its home games during the day.
Birthdays: The Edge, Roger Federer, Donny Most, Dustin Hoffman Yesterday: David Duchovny, Megan Gale, and Charlize Theron
Here is what’s in today’s Ledger ...
State Of Play: The Obama Downgrade
President Obama Refuses To Acknowledge His Spending Spree Was The Driving Force Behind The Downgrade ... The real reason for White House fury at S&P is that it realizes how symbolically damaging this downgrade is to President Obama's economic record. Democrats can rail all they want about the tea party, but Republicans have controlled the House for a mere seven months. The entire GOP emphasis in those seven months—backed by the tea party—has been on reversing the historic spending damage of Mr. Obama's first two years. ... In the name of saving the economy from panic, the White House and the Pelosi Congress then blew out the American government balance sheet. They compounded the problem of excessive private debt by adding unsustainable public debt. They boosted federal spending to 25% of GDP in 2009, 23.8% in 2010 (as TARP repayments provided a temporary reduction in overall spending), and back nearly to 25% this fiscal year. Meanwhile, debt to GDP climbed to 53.5% in 2009, 62.2% in 2010, and is estimated to hit 72% this year—and to keep rising. These are all figures from Mr. Obama's own budget office. Rather than change direction this year, Mr. Obama's main political focus has been to preserve those spending levels by raising taxes. His initial budget in February for fiscal 2012 proposed higher spending. He then resisted the modest spending cuts that the GOP proposed for the rest of fiscal 2011. The Wall Street Journal
- The President Demonstrated How Unserious He and His Administration Are Regarding Spending By Racking Up The Largest Single-Day Accumulation Of Debt In U.S. History. ... the Obama administration immediately demonstrated its utter lack of creditworthiness by blowing 60 percent of the initial $400 billion increase in one day, the largest single-day accumulation of debt in U.S. history. In 2008, the federal budget deficit was around 3 percent of gross domestic product. In 2011, it’s around 11 percent. Total federal debt was $10.7 trillion at the end of 2008 and is currently $14.6 trillion. Debt as a percentage of GDP was a painful 69 percent at the end of the Bush years, but Mr. Obama is pushing it over 100 percent, another disgraceful historic milestone. The Washington Times
The Loss Of The Country’s AAA Rating Creates An “Ignominious Legacy” For President Obama. “Then a rating agency lowered the U.S. credit rating for the first time, an ignominious legacy for Obama.” National Journal
State Of Play (2): Senator Reid Continues To Push For Tax Increases On Small Business
Reid’s Top Priority: Raising Taxes. Senate Majority Leader Harry Reid warned last week that the conflict could derail the committee’s work. “If there’s continual talk by Republicans in the House and the Senate that there will be no revenue, then there will be no bill,” the Nevada Democrat said in an interview with NPR. Roll Call
- Reid Uses Downgrade To Push Job-Destroying Tax Hikes. Democrats like the Senate majority leader, Harry Reid of Nevada, cited the downgrade as another reason to include revenue-raising measures in a package. The New York Times
The Road Ahead: House Republicans Work To Reduce Regulatory Burdens Stifling Job Creation
Leader Cantor: President Obama’s Policies Are Choking Off Economic Growth. Now that the debt debate is in abeyance, the House is "going to continue the focus on the impediments that continue to be erected by this administration to jobs and job growth." Mr. Obama's policies "are what are choking this economy," Mr. Cantor argues, mentioning the stimulus, health care, the auto bailout, "unpredictable and onerous" regulators like the Environmental Protection Agency and the National Labor Relations Board, "the God-forsaken Dodd-Frank regime" and "a taxation system that is noncompetitive, to say the least." He continues: "It doesn't work for Washington to be granted this almighty power that somehow is going to cure all ills and right all the wrongs that they think exist." The Wall Street Journal
House GOP Jobs Plan Targets Regulation. Congressional Republicans and aides confirmed that regulations are going to be at the top of the GOP agenda next month ... “We've got to take a real look at what we can do in Washington, number one, to remove the regulatory burdens that are in the way of entrepreneurs and investors, so that jobs can be created again. And we have to look at policies that affect small business people and the middle class,” House Majority Leader Eric Cantor (R-Va.) told CNBC. The GOP will make a major push this fall for the REINS Act, which would require all major regulations to get a vote in Congress. Also on the short list is a bill sponsored by Rep. John Sullivan (R-Okla.) and reported out of the Energy and Commerce Committee in July that requires more extensive cost-benefit analysis on regulations. ... “We are going to use every tool in our arsenal,” Rep. Kevin Brady (R-Texas) told The Hill. The Hill
- Patent Reform: House GOP’s Jobs Bill Will Be On Top Of Senate Agenda. The patent bill will be at the top of the agenda when the Senate reconvenes in September. The first major overhaul of the patent system since 1952 has already passed both the Senate and the House by wide margins, and the Senate will be trying to agree to the similar House version and send it to the president for his signature. ... Supporters say the first-to-file system creates certainty about patent ownership and reduce costly litigation. Job creation will be a happy byproduct, they predict. Patent reform will be a boost to intellectual property industries that account for more than a half of U.S. exports, said House Judiciary Committee Chairman Lamar Smith, R-Texas. "These industries also provide millions of Americans with well-paying jobs." Smith's Democratic partner in the Senate, Judiciary Committee Chairman Patrick Leahy of Vermont, agreed: "This is a jobs bill when our economy needs it most." The Associated Press
Reminder: President Obama Said He Was Open To Reforming Entitlements, But Failed To Put Forward A Specific Proposal. Although Obama said he was willing to trim “entitlements” — presumably, Social Security and Medicare — he never laid out specific proposals or sought public support for them. There was more talk than action. The Washington Post
Off The Beaten Path
Whisker Wars: The World Of Competitive Facial Hair Growing – SI
Fail: Mexican Smugglers Nearly Interrupt California Surf Contest – Fox News
... Of Course It’s A Nice Day For A Stroll On The Beach