Obama Budget Wrong Prescription for Economic Recovery, Says U.S. Chamber

Josten: You Don't Build a House by Blowing Up Its Foundation

WASHINGTON, D.C.—U.S. Chamber of Commerce Executive Vice President for Government Affairs Bruce Josten today issued the following statement on the Obama administration's proposed budget:

"While we have not seen all the details, the president's disappointing budget proposal appears to move in exactly the wrong direction. More taxes, heavy-handed regulations, and command-and-control government will not hasten recovery. Instead, it will delay it and do so at a terrible cost to taxpayers, businesses, and working families.

"You don't build a house by blowing up its foundation. Small businesses and the entrepreneurs who lead them have been the primary drivers of job growth over the past decade. This plan would punish them with higher taxes, resulting in less government revenue, less economic growth, and fewer jobs—not more.

"If the administration wants to spend a record $3.6 trillion and run up a $1.75 trillion deficit this year alone, we need a good return on that money. This budget proposal doesn't provide it. We strongly support financial aid to our citizens who are hurting now, but a 'taking from Peter to give to Paul' strategy won't work for long. It upsets Peter and doesn't equip Paul with the tools he needs to become a productive member of society. That's why we hope that the administration's plans for energy, infrastructure and education reform—once fleshed out—will help our most disadvantaged citizens to lead more productive and prosperous lives.

"Since the onset of this financial crisis, the U.S. Chamber has said that every proposal must be judged on whether or not it speeds economic recovery. By those measures—and many others—this budget proposal fails. And while we recognize and support more government involvement in the economy to help address our worst economic crisis since the Great Depression, we can't forget that real growth comes from the doers, dreamers, and risk takers who run America's millions of small businesses. If we take away their incentives to take risks, grow, and succeed—as this budget does—we will be unnecessarily shooting ourselves in the foot."

The U.S. Chamber is the world's largest business federation representing more than 3 million businesses and organizations of every size, sector, and region.

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