President Clinton's Radio Address to the Nation: Urging Congress to Maintain Fiscal Discipline to Extend America's
Prosperity August 5, 2000
In his weekly radio address today, President Clinton will announce that he is vetoing the Republican version of marriage penalty relief because it is part of a reckless tax cut plan that would threaten our fiscal discipline, drain the entire on-budget surplus, leave no money for key priorities like Medicare prescription drugs, and provide little benefit to most taxpayers. He will contrast the Republican plan with his approach which maintains the same fiscal discipline that has contributed to our current prosperity, prepares for the future by strengthening Social Security and Medicare, invests in key priorities like a voluntary Medicare prescription drug benefit, provides targeted tax relief -- including marriage penalty relief -- for American families, and pays down the debt by 2012. This week is the 7th anniversary of the Clinton/Gore 1993 deficit reduction plan that has turned record budget deficits into surpluses and produced the longest economic expansion in history -- with over 22 million new jobs, the lowest unemployment rate in 30 years, and the lowest minority unemployment rate on record.
Administration's Congressional Republican Framework Tax Plans Middle Class More Middle Class Benefits More for the Wealthiest 1 Tax Cut at Lower Cost: President Percent, Less for Working Clinton's proposed Families: A Treasury targeted tax cuts provide Department analysis of the substantially more tax major Republican tax cuts relief for middle class found that families in the families -- including middle fifth of the income targeted marriage penalty distribution would get an relief -- and do so at average tax cut of just less than half the cost. $220. Meanwhile, the top The President would 1 percent of families will provide an average tax cut receive an average tax cut of $371 to middle-class of $16,000. families to encourage retirement savings, help families with long-term care expenses and expand college opportunity. National Debt Debt-Free by 2012: The No End to Red Ink: President's budget Congressional Republicans' framework pays off the tax plans would use up the entire debt by 2012, entire budget surplus, making the U.S. debt-free making it impossible to for the first time since pay off the debt by 2012, the administration of and significantly less Andrew Jackson. likely that we would ever pay off the debt. Low Interest Keep Interest Rates Low: Discards Fiscal Rates The Administration's Discipline: Republican framework is a fiscally tax policies would abandon disciplined approach that our strategy of fiscal will pay off the debt and discipline, threatening to keep interest rates low. return us to the days of Each 1-point drop in deficit spending and interest rates saves higher interest rates. families $250 billion over Interest rate increases of 10 years. Fiscal policies 1/3 of a point would wipe advanced by the out all benefits of Clinton-Gore Republican tax cuts for a administration have middle class family. already lowered interest rates by 2 points. Medicare Preserve and Strengthen No Medicare Drug Benefit: Medicare: President A Congressional Budget Clinton has proposed a Office analysis of the meaningful and affordable House plan says it fails prescription drug benefit to provide prescription for all Medicare drug coverage to 50 beneficiaries. He also percent of seniors and would take Medicare disabled Americans who are off-budget and use the not currently covered. funds to pay down the debt and further strengthen Medicare, extending its solvency to at least 2030. Social Security Protect and Strengthen Nothing for Social Social Security: The Security: The 106th President would lock up Congress has passed tax the Social Security cuts that would use up the surplus, use it to pay entire budget surplus, down the debt and extend leaving nothing to the life of the program, strengthen Social and not allow it to be Security. used for other purposes. The President's plan would extend the solvency of the program until at least 2057. School Targeted Tax Cuts: The Nothing for School Construction President's plan contains Construction: Republican $24.8 billion in tax tax cuts provide nothing credit bonds to build or to help rebuild and modernize up to 6,000 modernize crumbling schools and a new $1.3 schools and would consume billion initiative to the entire surplus, provide urgent repairs for leaving nothing to pay for 5,000 schools each and future investments. every year. College Targeted Tax Cuts: Nothing for College Opportunity President Clinton has Opportunity: Republican proposed a college tax cuts provide no help opportunity tax cut to for middle-class students help students pay for up to pay for college to $10,000 in tuition and education and would fees for higher education prevent use of the surplus or job training. to open the doors of college to more Americans. In addition, Republican tax cuts could lead to hikes in interest rates, which would make student loans more expensive. Child Care Targeted Tax Cuts: The Nothing for Child Care: President's budget The Republican tax cuts do contains a comprehensive nothing to help working child care initiative that families with the costs of includes an expanded child child care, and by care tax credit and tax spending the entire incentives to encourage projected surplus, make businesses to provide future investments in child care for employees. child care difficult and The child care package unlikely. would benefit an estimated 8.1 million families. Long-Term Care Targeted Tax Cuts: Less for Working Families: President Clinton's plan The Congressional contains a $3,000 Republican plan provides long-term care tax credit little for families who to compensate people with are paying long-term care long-term care needs or expenses for a family their caregivers for the member. cost of care. Retirement Targeted Tax Cuts: The Less for Working Families: Savings President's Retirement The Republican tax cuts Savings Accounts proposal include proposals from the will give 76 million President's budget to families the opportunity increase portability and to build wealth and save extend coverage to small for their retirement businesses, but the through a progressive tax Republican bill does not cut. The President's do enough to expand proposal also provides tax savings incentives for credits to encourage small small businesses and businesses to establish working families. high quality pension plans for their workers.
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