[Congressional Record Volume 142, Number 124 (Wednesday, September 11, 1996)]
[House]
[Page H10215]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                ECONOMIC GROWTH UNDER PRESIDENT CLINTON

  The SPEAKER pro tempore (Mr. Roth). Under a previous order of the 
House, the gentlewoman from New York [Mrs. Maloney] is recognized for 5 
minutes.
  Mrs. MALONEY. Mr. Speaker, this past Saturday, former Senator Dole, 
now the Republican candidate for President, said in his radio address, 
``The Congressional Joint Economic Committee reports that last year 66 
countries had economic growth rates that surpassed ours. The President 
may think that when it comes to economic growth 67th place is good 
enough, but I do not. I want America to lead the world again in terms 
of economic growth, rising incomes, and greater job opportunities.''
  In building his bridge to the past, Mr. Dole must have overlooked the 
present. Just look at the good news about the economy that came out in 
the 2 weeks before he spoke. One week before his speech, the Commerce 
Department's Bureau of Economic Analysis revised the second quarter 
growth rate of the gross domestic product upward to 4.8 percent. 
Exports and business investments showed strong upward movement.
  Tuesday before he spoke, the conference board reported the index of 
leading economic indicators, which projects the economy's health for 
the next 6 to 9 months, reached a record high.
  Last Friday, before the Joint Economic Committee, the Commissioner of 
the Bureau of Labor Statistics reported that 250,000 jobs were created 
last month. This builds on the nearly 200,000 jobs we created in July, 
and on the 10.5 million in the President's first 3\1/2\ years in 
office.
  A report in the June issue of the monthly Labor Review, which the 
Bureau of Labor Statistics publishes, shows that between 1993 and 1995 
jobs in relatively higher earning occupations and industries grew at 
almost twice the rate as jobs in comparatively lower earning 
occupations and industries.
  In August, the share of women with jobs reached a record high of 57.2 
percent, the highest employment record for women in our Nation's 
history.
  Mr. Dole promises fiscal responsibility. However, look at the record. 
Before leaving office in 1993, President Bush's Council of Economic 
Advisers left an economic report for the President. In it they 
forecasted how well the economy would perform and what the size of the 
Federal budget deficit would be following President Bush's economic 
program.
  The most optimistic forecast was for the deficit to be $201 billion 
by 1996. Under President Clinton's leadership, the Congressional Budget 
Office projects the deficit to be $116 billion in 1996. That is $85 
billion less than the rosiest projection President Bush promised.
  After 3\1/2\ years under President Clinton, we have the lowest 
combined rates of unemployment, inflation, and mortgage rates since the 
1960's, which is the biggest tax cut of all for working Americans and 
retirees on fixed incomes.

                              {time}  1815

  Now, let us listen to the words of the chairman of the Federal 
Reserve Board, Alan Greenspan. Testifying before the Joint Economic 
Committee in January 1994, Dr. Greenspan clearly stated what he felt 
was the cause of the speedup in economic growth. He said, and I quote, 
``The actions taken last year to reduce the Federal budget have been 
instrumental in creating the basis for declining inflation expectations 
and easing pressures on the long-term interest rates.''
  ``What I,'' and again I am quoting Dr. Greenspan, ``argued at the 
time is that the purpose of getting a lower budget deficit was 
essentially to improve the long-term outlook, and that if the deficit 
reduction is credible, then the long-term outlook gets discounted up 
front. Indeed, that is precisely what is happening.''
  ``I,'' and again I am quoting Dr. Greenspan, ``think a substantial 
part of the improvement in economic activity and the low rates of 
inflation can be directly related to a changing financial expectation 
that we might finally be coming to grips with this very severe 
problem.''
  That was in January 1994. He is not crediting shutting down the 
Government and holding needed Government services hostage to unfair 
budget deals for making financial markets believe that new and better 
fiscal management was finally in place. Dr. Greenspan was crediting the 
Budget Reconciliation Act of 1993, with the, and again I quote him, 
``substantial part of the improvement in economic activity and the low 
rates of interest.''
  I agree with Dr. Greenspan. I am proud of the economic record 
President Clinton and the Democrats have accomplished in the last 4 
years. We still have a great deal more to do, but we are on the right 
track.
  As President Clinton says, we must build a bridge to the future. It 
is not a toll bridge, because it will be a bridge paid for by careful 
planning. We do not need a bridge to the past built with IOU's and 
growing deficits that will mortgage our future, and we do not need to 
go back to slow job growth and fewer opportunities. We need to look 
forward.

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