WASHINGTON – In response to a recently announced bipartisan agreement to prevent looming tax increases, House Budget Committee Ranking Member Paul Ryan (WI-01) issued the following statement:
“President Obama has acted responsibly in reaching an agreement with Republicans to prevent across-the-board tax increases from hitting American families and job creators. Sound economics appear to have trumped the politics of class warfare. While I prefer a permanent prevention of tax increases to promote growth and ensure certainty, there is a growing bipartisan consensus that raising taxes would be a big mistake. This agreement affirms an essential proposition: raising tax rates hinders economic growth and job creation.
“Policymakers cannot continue to chase ever-higher levels of government spending with ever-higher tax rates. To address the Federal Government’s fiscal imbalance, we need both economic growth and serious spending discipline. It is critical that we match opposition to tax increases with a commitment to restrain the explosive growth of government spending.
“While I have concerns with some specific aspects of the plan, I support the proposed framework to avert further economic hardship and provide a first step to restoring the foundations for sustained growth and job creation. I look forward to working with my colleagues to keep taxes low, and will continue to make the case for an equal commitment to spending restraint and real reform.”
House Budget Committee Republican analysis on the tax debate: “The Impact of Looming Tax Increase”