Mr. President, today President Obama laid out a commonsense plan to substantially reduce the budget deficit. I congratulate President Obama for his vision. Last week he presented the country with a roadmap to reduce our jobs deficit, a…
Mr. President, today President Obama laid out a commonsense plan to substantially reduce the budget deficit. I congratulate President Obama for his vision. Last week he presented the country with a roadmap to reduce our jobs deficit, a proposal to create nearly 2 million jobs and reduce unemployment by a percentage point. Today he has also offered a pathway to reduce our budget deficit--not only the jobs deficit but a budget deficit. It is a concrete strategy to cut the deficit by more than $4 trillion over the next decade and to do it fairly.
The plan calls for shared sacrifice for all Americans, including those who can best afford to help. It calls on those who have benefited from the tax policies that sunk this country deeper and deeper into debt to help get us out of this debt.
Americans know shared sacrifice is the best path to fiscal sustainability. All the polls indicate that Republicans believe that, Democrats believe that, and Independents believe that. They believe many of the richest few should pay more, and one of the richest of all of them, Warren Buffett, agrees. That is why the President has proposed the so-called Buffett rule, that no American making more than $1 million a year should pay a lower tax than this Nation's middle class.
This would apply to the top three-tenths of 1 percent--that is all, a small group of Americans--but they are the richest of the rich just like Mr. Buffett. Warren Buffett believes it is unfair that he pays a lower income tax than his secretary. This is what he said:
If you're in the luckiest 1 percent of humanity, you owe it
to the rest of humanity to think about the other 99 percent.
Actually, it is more than 99 percent; it is 99.7 percent. There are about 22,000 people in this country who make more than $1 million a year--this is net income--yet paid less than 15 percent of income in taxes. The top 400 earners in this country, all of whom make more than $110 million a year, pay a small percentage of their income in taxes. They pay a smaller share than plumbers and teachers and factory workers. More than anyone else these millionaires and billionaires benefit from these tax cuts that contributed $3 trillion to our deficit. They helped plunge this Nation into a financial hole. Yet congressional Republicans believe the middle class and seniors, not the millionaires and billionaires who enjoyed trillions in tax breaks, should bear the burden of getting us out of that hole.
A balanced approach to reducing the deficit means those who benefited the most from policies that created our deficit should also help solve the deficit crisis we have. A balanced approach means everyone pays his or her fair share. It means middle-class seniors and those who can least afford it will not bear the heaviest burden. So I commend President Obama for insisting on basic fairness as we address our deficit problem.