WASHINGTON, DC - House Majority Leader Steny Hoyer released the following statement today in response to the Congressional Budget Office's release of new budget numbers:
“The report released today by the Congressional Budget Office (CBO) reveals that after eight years in the White House, and six years at all the levers of power, Republicans’ failed policies have resulted in record deficits and a weakened economy. The deficit in FY08 represented a dramatic swing of $1 trillion from the $636 billion surplus projected when Bush came into office.
“While the Democratic Congress continues to address the problems facing everyday Americans, today’s CBO report shows that under a Republican Administration our fiscal condition continues to decline while our economy suffers. Last month, the American economy lost 84,000 more jobs. In fact, jobs have been eliminated every month in 2008, with a total of 605,000 jobs lost this year alone, and the unemployment rate has hit its highest point in five years.
“The deficit has been increased in the near term as a result of the legislation Congress and the President adopted on a bipartisan basis to respond to the economic downturn. Unfortunately, the costs of these actions were added to large structural deficits created by the failed policies of the previous six years. We would have been in a much stronger position to respond to poor economic conditions had a Republican President and Congress not squandered the projected surpluses earlier in this decade.
“These numbers demonstrate why it is important to continue pay-as-you-go budget policies for tax extenders and why we need to be careful about proposals, like John McCain’s, to extend the Bush tax cuts. Simply extending Bush’s tax cuts, set to expire in 2010, would result in a deficit of $750 billion by 2018. Democrats will continue these important efforts to restore fiscal discipline in Washington."