Will the gentleman yield? Talking about one of the big differences that we have between the Republicans and the Democrats in this House and in this Nation in terms of what goes on nationally here in Congress, there didn't used to be such a…
Will the gentleman yield?
Talking about one of the big differences that we have between the Republicans and the Democrats in this House and in this Nation in terms of what goes on nationally here in Congress, there didn't used to be such a difference. In fact, President Kennedy said, ``A rising tide lifts all boats'' and promoted broad-based tax cuts to stimulate economic growth in the early 1960s upon taking office, and it definitely worked. I think with our colleagues on the other side of the aisle, the Democrats, they tend to view it as what they call a zero sum game. In other words, if somebody wins in that situation, that means somebody else has to lose.
And the thing I like about President Bush and the Republican policy is that we kind of harken back to the Reagan era and the Kennedy era, where we try to provide broad-based tax relief to everyone, recognizing that when we do that everyone will benefit, rich and poor. And that has happened, by the way. And, in fact, our standard of living is on the rise. And real after tax income, according to the figures I have, are up by 11 percent since December of 2000. That is substantially better than the gains following the last recession.
And I also note just in terms of the effects of tax relief that despite the collapse of the stock market and the commencement of a recession in 2000; the terrorist attacks of 2001, which we just commemorated here earlier this week, the fifth anniversary of 9/11; and the ongoing war against terror, the economy has expanded by more than $1 trillion since President Bush took office.
Our Speaker addressed this. I wrote this down a couple of years ago. He said our job is to leave this country a better place for our children and grandchildren, and I think that is really what it is all about.
And this is something I think is really unfortunate, that the two parties cannot come to better agreement on this because we have had that in the past. And right now there is such sharp division with the other party constantly clamoring. They are promising higher taxes. That is one of the planks in their presidential platform. It is one of the planks in many congressional candidates that are running this year. And whenever we hike taxes, it takes money out of the people's pocket and puts it in the pocket of the government and puts the money out of the families' control and into the hands of government bureaucrats. It seems to me that our policies empower the individual.
Taxes are way too high. Even after the Bush tax cuts, they are way too high and need to be cut further. And that is something that we constantly try to do as Republicans. I think every year, the Republican majority, we have introduced and passed bills to cut taxes. We are still trying to eliminate the horribly unfair death tax that is nothing more than a vicious socialistic scheme to punish the rich that was enacted back in the early part of the 20th century. We would be so much better off, as the gentleman observed, to change our tax system so that we are not all spending so much money to comply.
And I really appreciate the gentleman's efforts in leading this discussion tonight and look forward to work with him to improve economic competitiveness, to empower families and individuals, to reduce the burden of government on their lives.
By the way, the overwhelming impact of government regulation I think actually has a greater economic burden on families and individuals than direct taxation. I think it is astounding to see what this is costing us. When everybody wonders why are houses so expensive, you have got to look at all the built-in government regulation that causes the price to be probably 50 percent higher than it would need to be.
You make a very, very good point, and I have occasionally seen a talented government official who is a problem solver. And so they get out of the adversarial mode where they are doing inspections and levying fines, and they are actually trying to create solutions for the businesses and the interests over whom they preside in order to make things work. We don't see that nearly often enough. And I think that is exactly the type of direction we need to move in.
All the business people I know and all the working people are trying to accomplish a good thing, and it is extremely unfortunate when the government gets so heavy-handed, and instead of solving the problem they create many more problems. We have had a lot of this in the environmental regulation area in the Sacramento region with, really, an unhelpful approach by certain Federal agencies.
I think that maybe the winds may be shifting a little bit after considerable prodding from the congressional delegation, and we may see a more friendly attitude in, say, the regulatory area of some of these agencies. And I certainly hope so, because I really like the example that you gave where you saw the good results that came from a different approach, where it is a helpful, solution-oriented approach as to this heavy-handed, traditional bureaucratic government, adversarial approach.
We do. We have some friends that lived in Germany, and when they would come over to the United States, one was an American citizen married to a German national, they would come over and they would spend the first day or two at the dentist's office, which I always thought was odd. That wouldn't be the first thing I would want to do if I came back home to the United States. But in Germany, you can't get preventive dental care, and so you have to wait until they have a tooth fall out or a cavity or something.
And it was real frustrating. They would come over and get their teeth cleaned and have different kinds of work done. But I always thought, what a strange thing.
You know, you hear about these socialistic single-payer systems; for years they were extolled. I think the glamour of this has sort of worn off. In fact, I have heard it said that those kinds of systems are great if you are healthy, but if you have a serious problem like you were talking about with your father, people come here, because we have the competition, we have the highly trained experts that can diagnose, that can treat, that can perform these miraculous types of surgeries.
And we need to improve the system because it still isn't really driven enough by market forces. And that is what really the seeds for transformation of the whole health care system, private and public, were in that Medicare prescription drug bill.
And you and I both know that the Democrat party did everything they could to deny the prescription drugs to senior citizens. Why? Because it is a good issue for them to not solve but to talk about and campaign upon.
And I have noticed they are very good about not solving things. I can't think of a single thing they have solved. But they are good about bringing up problems and stirring up emotions and promoting reasons why they should be elected. But we actually got that through, and it has just been very, very well received.
The premiums are actually dropping as a result of this Medicare prescription drug program. And what I really liked about it was, it contained for the first time the ability of any American in this country to invest money in a health savings account and to be able to get a tax deduction for it. And there has been a huge expansion in the number of health savings accounts as a result of that.
And my hope is, and our hope at the time we enacted it was that this would begin to put the consumer in charge of his own health care, and through competitive forces, finding out who was a quality provider and who offered the best price, you begin to bring the cost of health care down. And I think we really have a bright future in that area.
And yet they talk about it all the time and blame us for being antihealth care and antieducation. And yet all the innovations that have occurred in the last dozen years have occurred under Republican leadership.
Would you yield before you get to energy? Because I want to comment on that.
This is something I find that is very, very encouraging. Young people in general do trust the free market, and that is something that I find as a beacon of hope as they are coming up, because they are going to be the next generation that takes power. And I really think a lot of these heavy-handed sort of antifree market ideas which are embodied basically in a liberal Democrat philosophy, I just think that rings very hollow to the coming generation. And I take great hope in that.
Just before you go to energy, I want to mention, speaking of young people, education. One aspect of the President's No Child Left Behind plan, which we enacted in Congress, which we passed and he signed into law and became enacted into law, is competition in education.
You know, we have great schools in our area, and they were great before No Child Left Behind. In some ways there have been some unfortunate issues with that legislation for our areas, but one of the real areas of transformation has been in the inner city.
In no place, I think, have we seen greater success for lifting people out of a hopeless future and putting them into a situation where finally they are going to be able to compete with the skills that they are learning in school than in Washington, D.C. Washington, D.C. has more charter schools than any other place in the country. These charter schools are actually educating children.
When people do criticize the President's plan, I wish they would keep in mind that for the inner cities across this country this has brought a renaissance in education that has not been seen in this country for over 50 years. And in our inner cities we have had a lot of social problems festering that spill over into the suburbs in areas that you and I and many of us represent.
I just really want to commend the President. I really feel that he has made a huge difference improving the lives of people, young people and their parents, by encouraging accountability and encouraging competition in education. And I just want to say to the Nation at large, they really should look at Washington, D.C. to see what is happening here in the public schools, because opportunities have been created and lives have been blessed that never were before.
And one of our former colleagues, Frank Riggs, has been a real leader in this charter schools movement, and he continues to be involved these days in the private sector for education now, and is still involved in a nonprofit involving charter schools.
I just think the Nation should be aware that this is a Republican idea that has been fostered, that has been legislated, and we are seeing clear results.
You yourself mentioned the dramatic decline. It has a ways to go, but someone once said it doesn't matter so much where you are as it does in which direction you are headed. And in education in the inner cities, we are headed in a positive direction, and it is positive for the first time in many decades. And we just have to keep up the positive flow in that area, and I think we will be blessed in many different ways in this Nation.
Arctic National Wildlife Refuge, ANWR.
Yes, that is right.
If the gentleman will yield. You know, ethanol is very exciting. The President has proposed the hydrogen initiative, which the burning of hydrogen has no by-product except good old H2O coming out of the tailpipe. These things, I know, sound futuristic, but, actually, hydrogen fuel cells exist. I drove a hand-built, million dollar Toyota Highlander around Roseville that was a hydrogen fuel cell. It was quiet and powerful. It was excellent.
Now, one of the problems that is not quite worked out is they do not have the longevity they need to have. But it is the Republicans' intent to get us completely off of petroleum. We shouldn't have to be dependent on something that comes from foreign countries, who, by the way, for the most part, are hostile foreign countries. And it is time that we, just as a matter of national security, get off of our dependence on oil.
We are moving, I am voting, and I believe you are too, just as fast as we can to get into something else. And there are some transitional technologies, like the gas-electric hybrids, like the E-85, like the vehicles that are battery powered that move people around their own local community. We have two such communities now that are approved for, I think they call them EAVs, and those are my communities of Rockland and Lincoln, which are both approved for that. We have the hydrogen area going on in Lake Tahoe, one of the five or six or eight areas in the country where they are doing research work on the fuel cells.
There are lots of exciting things. But in the meantime, though, as the gentleman pointed out initially, and we are going to push these alternative technologies, solar and wind and all of them as far and as fast as we can, but in the meantime, we need to continue to develop the new sources of petroleum.
One of the problems we have, as the gentleman observed, we haven't built new refineries in the last 25 years. It is true that we have expanded capacity within the existing locations, so that has helped us get through what would otherwise be an insurmountable problem. But the fact of the matter is that now third world countries like China and India are coming into their own. There is greatly increased competition for petroleum.
This country has increased its gasoline usage enough that if you have a natural disaster, like we had last year in the Gulf of Mexico, where we have quite a bit of refining capacity, then we don't have enough, and then there is a shortage and then the price goes way up. We ought to, just to protect our national security, develop more refinery sites.
And it is true that the Democrats tend to oppose this every step of the way. And what happens then, when we do get these huge price spikes, people need to understand that we could avoid a lot of that if we took some steps now and built some more refineries. We could avoid a lot of that if we would drill in ANWR. Fortunately, we made the biggest discovery of new oil in the gulf since the discovery of oil at Prudhoe Bay, and that just happened here in the last week, so that is very, very fortunate, but we ought to be enacting this deep water bill that Mr. Pombo has sponsored out of the Resources Committee because it would vastly increase the reserves of petroleum and natural gas and would lower the price for people in this country. And it would be a huge boon.
It is frustrating to see that there is such partisan antipathy towards, and almost unanimous opposition from the Democrats to us moving ahead. It just slows down our ability to get things done.
Nondefense discretionary spending was cut for the first time in 19 years. Ronald Reagan was President the last time that happened.
And the increase in mandatory spending, and two-thirds of the budget is mandatory spending, we slowed the growth rate of mandatory spending for the first time in 9 years. 1997 was the last time that happened.
Those are two huge accomplishments.
Osama bin Laden said the center of the war on terror is in Iraq, yet we hear Democrats asserting Iraq has no connection to the war on terror. Osama bin Laden declared that, and that is why we need to understand it is important that we succeed in Iraq against the terrorists.