[Congressional Record Volume 145, Number 24 (Wednesday, February 10, 1999)]
[House]
[Pages H576-H577]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




              FISCAL DISCIPLINE AND REDUCING NATIONAL DEBT

  The SPEAKER pro tempore. Under a previous order of the House, the 
gentlewoman from Oregon (Ms. Hooley) is recognized for 5 minutes.
  Ms. HOOLEY of Oregon. Mr. Speaker, Americans now are looking at the 
longest peacetime expansion of the United States economy since the 
start of the 20th century. The outlook for our future is rosy. Economic 
growth is expected to continue to rise, and unemployment is predicted 
to stay below 5 percent. Inflation is expected to remain low, and it is 
believed that the interest rates on mortgages and loans will continue 
to remain attractive.
  This booming Federal economy has passed on some benefits to the 
Federal Government. The most notable are the increased tax revenues and 
Social Security dollars that result from a fully employed workforce. 
With this economy, Congress is faced with a new and interesting 
predicament of deciding what to do with those Social Security 
surpluses.
  If we look only at the short term, we might be tempted to spend those 
funds on what later generations would call reckless tax cuts. Now, I 
support cutting taxes and I hope we can find some room this year to do 
just that. But the American public is more savvy and will not condone 
irresponsible use of projected budget surpluses.
  My constituents, if they retired, would not go out and spend all of 
their retirement on a new sailboat the day they retired. Well, I think 
they want us to show that same fiscal restraint and discipline.
  While economists are predicting good times ahead, our future also 
holds a growing number of baby-boomers who will be moving from the work 
force into retirement. They have paid into Social Security and they 
should know it will be there for them in the future.
  The youngest citizens of our Nation also need to know that we are 
thinking ahead. If we work to save Social Security and Medicare now and 
pay down our national debt, we will leave them

[[Page H577]]

with a healthy economy and the resources they need to move this nation 
ahead.
  This year, as a member of the Committee on the Budget, I will be 
looking forward to working on these issues. We know that the part of 
our national debt ``held by public'' will be 42 percent of our 
Gross Domestic Product this year. This is the term we use to describe 
the money the Federal Government has borrowed from banks and pension 
funds. With a Federal debt in the area of $5 trillion, we need to focus 
on paying that down and end the process of borrowing.

  The budget proposal sent to Congress by the President does just that. 
It makes sure that we save and makes sure that Medicare and Social 
Security are there for the future, as well as it pays down the debt. 
This is a home run for all of our citizens.
  If my colleagues look at this chart, we look at the interest again, 
14 percent. If we have the discipline, the fiscal discipline, to make 
sure we have Social Security there for the future, that we have 
Medicare there for the future and pay down that debt, we will get that 
down to about 2 cents per dollar. With that kind of a reduction, I want 
to tell my colleagues, there will then be real money for tax cuts and 
real money for investing in a lot of programs that people want.
  I am looking forward to working on this agenda that will be healthy 
for the future economy of the United States.

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