I heard the Senator speaking and wanted to congratulate the Senator. I listened also to Kevin Phillips' presentation. By the way, Kevin Phillips is a Republican, not a Democrat. But he was fair in his analysis. Quite clearly, all…
I heard the Senator speaking and wanted to congratulate the Senator. I listened also to Kevin Phillips' presentation. By the way, Kevin Phillips is a Republican, not a Democrat. But he was fair in his analysis. Quite clearly, all economists that I know, unless they work at 1600 Pennsylvania Avenue, say this tax plan is bizarre. Crazy.
The Senator is aware, is he not, that not only do we have this tax plan that is floating around, that is going to be very harmful short term and disastrous long term, the Senator is aware that the Wall Street Journal, which is also not a piece put out by the Democratic Party, said today, on page 2: ``Slump in Job Market is Longest in Decades.'' And near-term prospects for workers remain grim?
Is the Senator aware that is in the Wall Street Journal today?
This article points out, among other things, last month this economy lost over 101,000 jobs. I know this because I was on a television program with Tim Russert. He had a chart demonstrating all the Presidents of the United States going back to Truman. Every President created jobs--Nixon, Truman, Eisenhower, all of them except George W. Bush. That chart shows the only President that has not created jobs, George W. Bush, and, in fact, he has lost 2.5 million jobs.
Is the Senator aware of that?
The Senator is right. The Senator is absolutely right.
Also, this article in the Wall Street Journal has a number of graphs and charts, but one of the things that just jumped out at me is the levels of unemployment of certain segments of our economy, certain demographic segments. It just jumps out.
Teenagers, of course, a lot of them are unemployed, and they want to work. But for African-American teenagers the unemployment rate is over 33 percent. It has gone up. From last year to this year, it has gone up 3 percent. These are kids who want to work.
There are no jobs for them.
I say to my friend, the distinguished Senator from Iowa, I was on a talk radio program this morning in Las Vegas--conservative. One of the things I have advocated is that the Federal Government should spend money creating jobs, infrastructure. I know in Iowa there are water systems that need to be worked on, sewer systems that need to be repaired and enlarged, highways, bridges, dams that need to be worked on.
And school repairs. This is a conservative program. They brought it up.
They said: I understand you want to have jobs and spend taxpayers' money on creating jobs.
I said: Yes, I do.
They said: Wouldn't the private sector be better off creating those jobs?
I said: Wait just a second. You understand the private sector is the one that is going to be conducting the work.
It is no Government giveaway. These are projects that need to be done, roads that need to be built, dams that need to be repaired.
I think we had a good discussion on this conservative radio program. I hope I educated them and their listeners because I said, among other things, that for every $1 billion we spend, we create 42,000 or 44,000 jobs. Think about that. These are good jobs, people who are paying taxes, they are buying refrigerators and cars.
We have this backwards. We are trying to help the wrong people, to create this windfall to the very wealthy in this scheme. There is no better place to start than the President and the Vice President. Is the Senator aware that the President of the United States and the Vice President of the United States would benefit significantly from this dividend scheme? In fact, between the two of them, the benefits would be over $400,000 a year.
Don't we have this backwards? Wouldn't it be better if we were creating jobs rather than cutting taxes for the wealthy?
I say to my friend, the distinguished Senator from Iowa, I traveled to one of Nevada's schools fairly recently, Boulder City High School. It is an old school now. It is an old high school. It is hard for me to comprehend Boulder City having an old high school, but they do. The average school in America is 45 years old. The average school-- think of that--is 45 years old. Schools need to be refurbished and rebuilt. Boulder City is kind of unusual in Clark County, in Nevada, because most of our schools there are new. We hold the record. We dedicated 18 new schools in 1 year in the Clark County School District.
So certainly the Senator is right. But I wanted to say this about the thing the Senator mentioned, and Kevin Phillips was mentioned, and he talked about class warfare. They believe the best defense is a good offense. So they have been whacking away at us since they introduced this ridiculous tax plan. They have been whacking away at us saying: They, the Democrats, are trying to create class warfare. We are not doing it. They have been doing it with their ridiculous tax plan.
I have nothing against rich people. I wish them well if they can make a lot of money and be rich. But they have created that, that the very wealthy are going to get tax benefits from this plan and the middle class and the poor get nothing.
Almost literally nothing. We are only bringing out facts and talking about the reality of this tax plan. We are not trying to create class warfare.
That is why the Wall Street Journal writes about this:
Slump in Job Market Is Longest in Decades.
We are not doing that. That is a fact of life.
This is per year. This is not over a lifetime; this is per year.
Will the Senator yield?
Last week I called someone the Senator from Iowa knows. He is a very strong businessman. I don't want to embarrass him. It was a private telephone call.
I said: Tell me what you think about this tax thing. He said: It is crazy. He would benefit from it. He said: It is crazy. There are too many things that need to be done.
I said: Would you come down and join with us and say something publicly about this? He said: I have a lot of government contracts, and I am afraid I would be punished if I did something like that.
He is not kidding. He has a lot of government contracts. The people from 16th and Pennsylvania Avenue and all people in the Cabinet have some influence over who gets contracts and how they keep them.
I would also say this is in support of and in commendation for rich people in America. I have, as does the Senator from Iowa, some rich friends. I have not had a single person from Nevada call me about this goofy scheme. I haven't had a single Nevadan call me. They know me well. If they liked this program, they would call me.
There have been other tax proposals from the White House--in the Clinton administration and in this administration--that I got calls on saying either do it or not do it. I haven't received a single call from my wealthy Nevada friends, or from wealthy Nevadans who may not be my friends, I haven't had anybody call me and say: Reid, I want you to support this. This is important to me.
I don't think they could do it with a straight face.
Could Michael Eisner support what is happening? Knowing all of the charitable things the Disney corporation is involved in, he couldn't possibly want more money for himself personally and another $2 million a year when he makes these multimillions. He knows this should go toward some of the public service things that need to be done and some of the health things that need to be done--the terrible battle we are fighting in the United States with AIDS and the like. I have to acknowledge and applaud wealthy Americans because they are not out clamoring for this to be done.
If the Senator will yield, I want to say a word, if I may, before the Senator from Rhode Island, who is the Presiding Officer, leaves the Chamber.
The junior Senator from Rhode Island I think set a mark for people on the other side of the aisle when he was the first to come out against this proposal. That is the way I heard it. I read in the paper that the Senator from Rhode Island opposes this, and as a result of his doing this, there have been several other Republican Senators who followed. Before he leaves the floor, I want to express my appreciation for the courage of the Senator from Rhode Island in coming out against this program.
I have taken so much of the Senator's time.
Mr. President, I apologize for using so much of the Senator's time.
I will say this last thing. I hope that we, the Democrats, and those courageous Republicans who oppose this don't fall for some compromise. I hope they don't come back and say: Well, we will not do away with all of that, but we will do such and such.
We have to recognize this for what it is. It is a bad program. We are broke as a country, and in the 2 years of this Bush administration they have ruined the economy. During the last 3 years of the Clinton administration we were taking in more money than we were spending.
It is remarkable. We were paying down the surplus. They have wasted the largest surplus that we were able to acquire. It is a terrible shame. I hope we don't have some cockamamie compromise where people walk out here and say: Well, it is not as bad as it could have been. We should recognize this for what it is and not compromise. We don't want it.
That is how I think we should move forward.
I only point out one thing. In the Senator's last statement, he said it was one of the largest surpluses in the history of this country. It was the largest surplus in the history of this country.
I appreciate the Senator for allowing me to interrupt. I appreciate the Senator very much for allowing me to have a few words on the floor.