[Congressional Record Volume 164, Number 158 (Tuesday, September 25, 2018)]
[Senate]
[Page S6290]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
Tax Reform
Mr. THUNE. Mr. President, America has always been a place of economic
promise. Millions of people have come to this country in search of a
better life for themselves and an even better life for their children,
but in recent years this dream had started to dim.
Under the Obama administration, our economy stagnated. Too many
American families struggled. Worse, some economists were predicting
that weak economic growth would be the new normal. Republicans disagree
with that assessment. We didn't think the United States was doomed to a
future of weak growth and diminished opportunity. We knew American
workers and American businesses were as driven, creative, and
innovative as ever. We also knew they were facing a lot of obstacles,
including burdensome regulations and an outdated tax code that acted as
a drag on economic growth. So instead of giving up on the economy, we
decided we were going to get the economy going again by removing
obstacles to economic growth and job creation.
Over the past 21 months, that is exactly what we have done. We have
removed burdensome regulations, and last December we passed a historic
and comprehensive reform of our Tax Code.
The Tax Code isn't necessarily the first thing people think of when
they think of economic growth, but in actual fact, the Tax Code has a
huge effect on our economy.
A small business owner facing a huge tax bill is highly unlikely to
be able to expand her business or hire a new employee. In fact, if her
tax burden is heavy enough, she may not even be able to keep her
business open. Similarly, a large business is going to find it pretty
hard to create jobs or improve benefits for employees if it is
struggling to stay competitive against foreign businesses that are
paying much less in taxes.
Prior to the passage of the Tax Cuts and Jobs Act, our Tax Code was
not helping our economy. It was doing the opposite, and so we took
action. We lowered tax rates across the board for owners of small and
medium-sized businesses, farms, and ranches. We lowered our Nation's
massive corporate tax rate, which up until January 1, was the highest
corporate tax rate in the developed world. We expanded business owners'
ability to recover the cost of investments they make in their
businesses, which frees up cash they can reinvest in their operations
and their workers. We brought the U.S. international tax system into
the 21st century so American businesses are not operating at a
disadvantage next to their foreign competitors.
Now we are seeing the results. Our economy is thriving. The economy
grew at a vigorous 4.2-percent pace in the second quarter of 2018.
Since the Tax Cuts and Jobs Act was signed into law less than a year
ago, 1.7 million jobs have been created. U.S. job openings have hit a
record high of 6.94 million. In fact, the number of job openings has
exceeded the number of unemployed for 5 straight months. Think about
that. The number of job openings has exceeded the number of people who
are looking for jobs for the past 5 months.
Wages are rising at the fastest rate since 2009. Middle-class income
hit its highest level ever last year--ever--and the poverty rate
dropped to its lowest level since 2006. Small business optimism
shattered its previous record to reach a new high in August. I could go
on.
So what does this all mean? It means that if you need a job, there
are more jobs available and jobs with good benefits. It means there are
more opportunities for workers to advance and build rewarding and
secure careers. It means fewer families are having to live paycheck to
paycheck and that more families have money available to plan for the
future, such as for their kids' college or for their retirement. It
means small business owners can think about expanding their businesses
and hiring new workers instead of wondering how they are going to make
ends meet.
When the American people elected us to the majority almost 2 years
ago, we had one priority, and that was making life better for American
families. I am very proud we are succeeding, but we are certainly not
stopping here. We are going to continue working to expand opportunity
for Americans even further. We are going to continue to build on the
work we have done on other priorities, from equipping our military and
supporting our veterans to fighting the opioid crisis.