Cornyn: The Facts Are Clear, Tax Relief Works

Cornyn: The Facts Are Clear, Tax Relief Works

U.S. Sen. John Cornyn, a member of the Senate Budget Committee, made the following statement regarding the Fiscal Year 2006 budget figures released today by the U.S. Treasury Department. The figures show the federal budget deficit has been reduced to $248 billion, cutting it in half three years ahead of schedule.

"The facts are clear - tax cuts work - and because the Republican-led Congress has passed tax relief for working families and small businesses, the American economy is strong and continues to grow. Over the last three years, 6.6. million jobs have been created and unemployment is low at 4.6%. Since August, gas prices have declined substantially. Last week, the stock market hit an all-time high. And today, we learn the federal budget deficit has been cut in half more than three years ahead of schedule. The economic policies of President Bush and the Republican-led Congress have worked and will continue to work to create more jobs and prosperity for American families.

"Yet, in the face of such positive economic news, it is stunning that the response from the Democrats is that we need to raise taxes by ‘rolling back' the tax cuts. Last month, American families and businesses paid the price for the Democrats' economic policies when they once again blocked the Family Prosperity Act which would address the death tax, increase the minimum wage and extend key tax relief provisions, including the research and development tax credit which helps thousands of Texas businesses. Helping working families, aiding small businesses and strengthening the American economy should all be above partisan politics but yet the Democrats simply cannot admit that Republican economic policies have worked so they have engaged in a strategy of block-and-blame. Today's latest economic news cuts makes clear though that the economy is growing because Americans have more money in their pockets to save, spend and invest."

http://cornyn.senate.gov/index.asp?f=record&lid=1&yid=1&rid=237243&pg=1