[Congressional Record Volume 158, Number 83 (Tuesday, June 5, 2012)]
[House]
[Pages H3407-H3408]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
WHAT WOULD RONALD REAGAN DO?
The SPEAKER pro tempore. The Chair recognizes the gentleman from
Virginia (Mr. Connolly) for 5 minutes.
Mr. CONNOLLY of Virginia. Mr. Speaker, when we look at this economy,
we should ask: What would Ronald Reagan do? When he took office in
1981, President Reagan inherited an economy in deep recession. During
the past 3 years, we've heard a number of current Republicans laud the
accomplishments of Ronald Reagan in spurring economic recovery during
that decade.
As they often point out, President Reagan cut taxes. Of course, so
did President Obama. The Recovery Act, which I proudly supported, cut
taxes for 95 percent of all Americans, averaging $400 for individuals
and $800 for families. When that tax cut expired--and when Republicans
refused to extend it--I was again proud to join President Obama to
enact the payroll tax cut, averaging $1,000 per family. But tax cuts
alone do not make a robust recovery.
The other notable thing Ronald Reagan did was preside over a Nation
with a sharp increase in public sector employment from local, State,
and Federal levels. Because, while today's Republicans may try to argue
otherwise, teaching jobs are jobs; firefighters have real jobs; police
jobs are jobs. In fact, three of the last four economic recoveries had
one thing in common: public sector employment increased. Two and a half
years into the recovery from 2001, total public sector employment was 1
percent higher; 2\1/2\ years into the recovery from the 1980 recession,
total public sector employment was 3 percent higher. And 2\1/2\ years
into the recovery from the 1980 recession, total public sector
employment under Ronald Reagan was almost 3\1/2\ percent higher than it
was at the start of the recovery.
In contrast, today's recovery from the recent recession has seen
total public sector employment decrease by 2.5 percent, largely because
the Republicans have gotten their way in trying to shrink the public
sector. Real jobs were lost. Had total public sector employment merely
held steady over the last 2\1/2\ years, the unemployment rate today
would be 7.8 percent, not 8.2. But instead, we've lost 600,000 public
sector jobs: teachers, police officers, firefighters, librarians, and
other dedicated public servants. If the goal truly were to foster a
robust economic recovery, you'd think today's Republicans would be
looking at how the Nation worked its way out of previous recessions.
But, obviously, that's not the case.
Last September, President Obama put forward the American Jobs Act, a
proposal to cut taxes on workers and businesses to incentivize hiring
and to fund necessary infrastructure improvements. Economists predicted
the American Jobs Act would have added up to 1 million new jobs and
spurred GDP growth by an extra 1.5 percent.
These are proposals that have traditionally earned bipartisan
support. For example, one of the single largest infrastructure projects
ever was under the creation of President Dwight D. Eisenhower, the
interstate highway program. In 1982, while he was still working toward
economic recovery, Ronald Reagan proposed a highway and bridge repair
program to create jobs in the public sector. But, sadly, Republican
opposition has kept the American Jobs Act from even coming to the floor
for a vote.
Many Republicans decried the use of additional revenue to help offset
any increase in national debt. Apparently, they forgot that when faced
with rising deficits, Ronald Reagan looked to revenue increases,
broadening the tax base, closing loopholes, and raising taxes. Yes, he
raised taxes in 1982, 1984, 1985, 1986, and 1987.
It's unfortunate that today's Republicans have lost sight of the
value of investing in America in a fiscally responsible manner, because
the Nation's construction industry has been the hardest hit. America
lost more than 2 million construction jobs in the recession that began
in 2007.
Infrastructure investments don't just create jobs, they also repair
dangerous bridges and make our roadways safer. They build needed
schools to lessen overcrowding; they renovate hospitals and improve
water treatment plants.
[[Page H3408]]
As part of the Recovery Act, we enacted the Build America Bonds program
that leveraged $4 billion in Federal funds to $181 billion in private
sector funding, completing more than 2,000 projects in every State in
the country. I introduced a bill to extend this successful program
because there remain unmet needs in our communities, and there are
millions of construction workers awaiting the opportunity to return to
work and communities that would benefit from the projects. We haven't
even had a hearing on that bill.
Mr. Speaker, Dwight Eisenhower did not subscribe to the current
Republican mantra that investing in America was something to be
shunned. Ronald Reagan did not share the current Republican dictum that
serving one's country in public service is somehow a less-than-noble
endeavor and the way to prosperity is through devastating cuts to the
public sector.
Congress must act to ensure long-term fiscal responsibility, but it
should not come at the expense of millions of Americans struggling to
get back to work. As we contemplate our economic policies, we really
should ask: What would Ronald Reagan do?
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