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Good news and bad news tonight for weeks we've been hammering President Obama for not doing -- -- the good news this.
We filing have the president's budget.
The bad news is.
You might not like what's in that House Budget Committee chair Paul -- tweeting.
Good news -- a -- -- finally released his budget bad news it includes a nearly one trillion spending increase it one trillion tax hike.
And record debt -- Paul Ryan joins us from the great state it was fast -- used CSX you to be back with you okay so what's wrong well let's just take this bit by bit down nearly one trillion in spending.
So we have a trillion dollar deficit we've got a -- crisis on the horizon.
And it's spending driven and so what is the president proposed paying -- -- one trillion dollar spending increase.
Only to be eclipsed by a one point one trillion dollar tax increase.
So a total deficit reduction in this ten year budget.
-- 46 point five trillion dollars 890 million dollars hole in the deficit reduction.
He proposes will start beginning in the year 20/20 four years after his left office say that this is just -- It -- political document your mind.
This -- more of the same take more from families spend more in Washington.
Ignore the deficit in the debt.
It's so it's.
Just not a very serious attempt to get a hold of our fiscal problems that's -- we -- -- do you see any part of that Jeff Francis of change CPI.
Have anything to explain for the news is set him down.
You see that at seven olive branch at least -- that's what I interpret that -- so change CPI this is another way of saying.
The Consumer Price Index.
Economists claim that it is overstated.
And so this is an attempt.
To make it more accurate and what that dies.
Is it ends up saving money throughout the federal government on various programs that are tied to spending to the Consumer Price Index.
The president put this proposal in there.
In his budget first time he's done something like that it does affect the spending on things like social security and Medicare and lots of different programs.
And so we interpret this as more or less an olive branch meaning a good thing.
From this perspective that he's willing to put something on the table that's controversial we've never proposed to before.
-- our proposal would have always been.
Don't deal or touched current seniors reform these are programs for younger generations.
So that they can have these programs when they retire so they don't go bankrupt.
Well making sure the current seniors don't have any changes this changes current seniors and rejects reforms to the next generation.
Like what we proposed a Medicare which we think saves Medicare so it's a different approach but it it the very least.
He's pretty shortly on the table but I think he's he's he intends to be an olive branch and so I see that -- a good.
Now and just of for the chasing guys that doesn't really mean we sort of shorthand oftentimes serve almost all of a sloppy cost cutting Social Security -- it's not you know proposal and putting and given the -- -- -- -- wouldn't it's really how much does it grow -- -- press so that you keep the same sort of buying power.
-- that's right so since it is it's a more accurate measurement of inflation.
-- according to statisticians and economists.
It slows the growth of spending it's not a cut in spending.
And it's a proposal that has been around -- number of years President Clinton propose something like this in the 1990s.
It's not a new idea.
Thomas knew from the White House it saves.
Billion dollars they're different iterations of this idea.
But it's really the only thing in here that I would say is a serious attempt -- budgeting but it's -- or washed out.
By the massive spending increases its -- -- washed up by the fact that he's proposing one point one trillion dollars higher taxes factory just raise taxes one point six trillion dollars.
And -- one trillion dollar spending increase.
I mean look he says that we need to deal with this deficit.
He's proposing we start reducing the deficit in 20/20 -- is gone after he's gone for years after -- gone.
Why did he doesn't think that's a political reason -- you think that -- -- -- Smart -- to -- -- -- -- -- -- trying to -- this.
Thesis in trying to well I mean I can't explain is it just -- waiting waiting a year is easing SM can't.
But waiting to -- point one.
What he believes it did it by spending money to stimulate the kind of cut the economy to stimulate the economy the be more revenues our revenues into the government that that happens way he.
Thanks so that was his thinking behind the stimulus package 2009 obviously hasn't worked for that is the way he thinks about economic side I think that's fair to say.
But it's this is 2013.
He's saying we should start -- -- a reduction point one.
The debt crisis will come and gone by then if we don't get this situation under control look we propose a budget that balances the budget in the house.
We balance the budget not just because you -- numbers add up because we know what's the right thing to do to grow the economy to improve people's lives.
Look if we want to restore up during this country if we want to fight poverty get people back on their feet again.
If we -- -- get out of this -- we're in the slow economy shrinking paychecks we've got to have a break with the politics of the past.
The president is proposing more of the same.
That's the problem is we see it.
And so this is one of those status quo budgets much like the senate budget and now that's why there's a big difference between what we've proposed -- wasn't ever balanced -- budget ever.
We propose not only to balance the budget.
But to save these incredibly important programs like Medicare so -- solvent without changing currency.
I don't measure up immaculate sand but for -- -- -- about this.
-- according to a report the US federal budget deficit fell this year.
Compared to last year that's the right direction you -- the right direction over the economy OK so -- so does that indicate the fact that this fallen in the year.
Is that an indication that the economy is sort of revving up if the economy revs up there will be presumably more jobs more revenue are being released.
You know to sort of supplement.
You know whatever the budget plans are.
So if the economy grows that does happen.
I wouldn't say revving up we're actually had a fairly high post -- thousand jobs and thin mint ice outside obesity economies revving up isn't easy -- rev up the Mets.
Significant number though that -- deficit that the deficit has fallen whether or natural things that are occurring in in the budget which is.
Some programs automatic stabilizers unemployment things like that are shrinking.
-- but the president -- budget proposes to increase the deficit next year.
He proposes more spending which increases the deficit.
So what we propose is not only we get a deficit down -- about half right away and then what counts the budget he.
-- so we're showing -- you can do this and yes cutting spending and growing the economy that's the secret sauce to fish in this budget mess.
Explain this week high and demand actually explain the presence that you would probably isn't fair but he's not here hound is -- it was my understanding perhaps.
Who incorrect that the Obama -- -- decided to resolve a lot of our health care issues including issues about Medicare.
Now I see in the president's proposal.
All these sort of changes in Medicare all these taxes and things going up and benefits going down.
And I and -- you know hearken back the president -- -- -- -- -- before -- -- very well now I see it certainly can't chipping away.
And I see all sorts of different things you know Dick decreases in payments to Medicare health providers a quarter billion but -- -- -- so what -- me why are we -- sort of Obama -- now must be managed through a budget proposal or -- Ron on that.
No you're right about that and I think this is what the world looks like under Obama -- don't forget obamacare change three program to change Medicare and Medicaid and they created obamacare.
And what obamacare did to Medicare is it took 760 million dollars from Medicare spent an Obama care.
That that this new board of fifteen bureaucrats in charge.
Putting price controls on Medicare providers which leads to denied access and now in addition to that.
In this budget they're calling for about -- billion dollars more in price controls in cuts to Medicare providers.
Problem is with a Medicare providers are telling us there's gonna stop providing health care to Medicare beneficiaries.
If you go down this path.
Of having the government ration and price control medical care to the Medicare community.
People are -- to -- -- to get Medicare and that's what we see coming with Obama care.
This is why we propose fundamental right Medicare reform.
Which is get rid of all of that -- Medicare alone like it is so that my mom who's been out for over ten years can keep it like she has.
And then reform -- from my generation those of us feel worse 55 and younger so that peak -- reform is the reformer and a way.
That makes sustainable -- -- -- the plan that we have in congress.
That makes it sustainable for us and it helps us keep to commend to our current seniors.
That's what we proposed a presence rejected that and so as a result.
It has to do zip it don't assume that -- -- that in the budget in his budget plan I mean I understand why you would want to modify obamacare through your budget plan but and he in his budget planet does appear to -- that there's some effort to -- modified the obamacare -- -- the back door push states to do more of the same.
But the point of trying to make -- but they're -- they're -- there's a decline maybe more the same but there's been caught -- -- more evident because -- in the -- doesn't regulation but I see it's more evident you know where people are going to be -- a little bit more.
Or -- to be a little decline in payments for service providers and I can see -- going -- the budget.
Yes and so.
That's what obamacare started to do -- said less money for Medicare providers through obamacare.
That pass that's coming in now we see Medicare providers are having a real hard time providing health care.
Now what he's following up on -- saying here's my only real cost saving idea.
In entitlement reform.
Sticking to the providers again lower reimbursement rates Medicare providers in addition to what's already coming.
Which simply means more price controls and fewer services for Medicare beneficiaries that is his version of entitlement reform of Medicare reform.
Which is very different than what we've been proposing but that's the path we're on with his obamacare program in place -- ARP is gone after a little bit on -- -- change CPI and he says that the new campaign we have a tape from 2008 when he's running consider John McCain.
John McCain's -- bears got -- -- further suggesting that the best answer for the growing pressures on Social Security.
My beating costs.
My getting caught cost of living adjustments or raise the retirement age.
Let me be clear I will not do either.
-- -- he's changed and so it is is of president right because I mean this is obviously gotten a lot of people upset and in his face.
Is -- he says he's mean Republicans more than half way.
Is doing you literally about what she's meeting is more than half when we never proposes this is not our idea this is just so general and in the -- mean is is there any anything else in the budget -- -- -- You know a gesture TO to talk.
We cut five trillion dollars in spending he raises a trillion dollars in spending and raises a trillion won in taxes so this is dead on arrival how do you see this is meeting us half way.
Honestly I mean OK we say take five trillion dollars out of the spending to balance the budget.
And reform the Texas and get rid of -- polls lower tax rates for families and businesses to grow the economy.
He says don't do that but raise taxes one point one trillion -- raise spending a trillion dollars how is that meeting us half way.
So he changes each inning it he his budget in in your eyes in the House of Representatives dead on arrival of course but.
I I think they probably understand that still -- wouldn't go from here so that's.
Look -- I don't wanna be as -- is nice I come across right now.
I'd like to think because the senate passed a budget this year for the first time in four years the president finally put his budge on the table it's about 65 days late.
I'd like to think that puts in place a process under which we can start talking I would I get is an infant is that realistic and I like to think that is it realistic.
I think it is realistic I think putting this change CPI idea that the president is put on the table.
Shows me that he's more serious -- he has been in the past albeit all.
-- the macro statistics of this budget -- trillion in tax increases and spending increases that some very serious for duty loaded up that way because since taking give -- some when he comes to the table you know I don't know.
I I honestly don't know I don't it.
-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- Trying to figure this stuff not the point is senate pass a budget we passed a budget in the house the president's -- one on the table we need to start talking.
We've got to find where common ground exists is what we think this divided government owes the American people is a down payment on a problem.
We get his deficit and debt under control so we can grow our economy so we can improve people's lives -- we -- people back to work and so this to me tells me.
We got to get to work -- -- talking to each other in at least they passed something in the senate in at least he propose something so at least when you start talking.
-- you a different view if the February 2009 stimulus had revved up the economy.
We have a different view of his -- of his well it didn't so I don't I.
Hypothetically what I'm -- is aiming this is is the fact that the stimulus bill was so disappointing.
And the fact that his budge in some ways mirrors much of the ideology -- -- in this -- is that you know is that a sign that we're just -- he's just on the wrong track.
Well I don't think he's learned the lesson of economics or history of any continues to repeat the same mistakes that have been made it and and if we have any value Republicans house represented as dividing government.
It is that we're not gonna repeat -- can repeat these mistakes we're gonna help them prevent those mistakes and actually get a down payment by cutting spending.
Reforming entitlement programs and a Smart way.
Growing the economy reforming the tax code opening up energy exploration so -- have the energy Renaissance that is on the cusp in this country if we allowed to happen.
Those are the kinds of things that we think will increase paycheck to increase jobs get this economy revving up.
And yes getting this deficit and debt under control.
Happened thank you privacy is there thank you.
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