Today, House Budget Committee Chairman Paul Ryan (R-WI) released a bold new FY 2012 budget which puts America on the "Path to Prosperity" by cutting $6 trillion in federal spending over the next ten years.
THE PATH TO PROSPERITY - KEY OBJECTIVES
ECONOMIC GROWTH AND JOB CREATION: Fosters a better environment for private-sector job creation by lifting debt-fueled uncertainty and advancing pro-growth tax reforms.
SPENDING CUTS AND CONTROLS: Stops Washington from spending money it does not have on government programs that do not work. Locks in spending cuts with spending controls.
REAL SECURITY: Fulfills the mission of health and retirement security for all Americans by making the tough decisions necessary to save critical health and retirement programs.
PATIENT-CENTERED HEALTH CARE: Repeals and defunds the President's health care law, advancing instead common-sense solutions focused on lowering costs, expanding access and protecting the doctor-patient relationship.
RESTORING AMERICA'S EXCEPTIONAL PROMISE: Tackles the existential threat posed by rapidly growing government and debt, applying the nation's timeless principles to this generation's greatest challenge. Ensures that the next generation inherits a stronger, more prosperous America.
THE PATH TO PROSPERITY - KEY FACTS
- Cuts $6.2 trillion in government spending over the next decade compared to the President's budget, and $5.8 trillion relative to the current-policy baseline.
- Eliminates hundreds of duplicative programs, reflects the ban on earmarks, and curbs corporate welfare bringing non-security discretionary spending to below 2008 levels.
- Brings government spending to below 20 percent of the economy, a sharp contrast to the President's budget, in which spending never falls below 23 percent of GDP over the next decade.
DEBT AND DEFICITS
- Reduces deficits by $4.4 trillion compared to the President's budget over the next decade.
- Surpasses the President's low benchmark of sustainability - which his own budget fails to meet - by reaching primary balance in 2015.
- Puts the budget on the path to balance and pays off the debt.
- Keeps taxes low so the economy can grow. Eliminates roughly $800 billion in tax increases imposed by the President's health care law. Prevents the $1.5 trillion tax increase called for in the President's budget.
- Calls for a simpler, less burdensome tax code for households and small businesses. Lowers tax rates for individuals, businesses and families. Sets top rates for individuals and businesses at 25 percent. Improves incentives for growth, savings, and investment.
GROWTH AND JOBS
- Creates nearly 1 million new private-sector jobs next year, brings the unemployment rate down to 4 percent by 2015, and results in 2.5 million additional private-sector jobs in the last year of the decade.
- Spurs economic growth, increasing real GDP by $1.5 trillion over the decade.
- Unleashes prosperity and economic security, yielding $1.1 trillion in higher wages and an average $1,000 per year in higher income for each family.
-Information courtesy of House Budget Committee Website.
Click here to visit the House Budget Committee Website for more information on the FY 2012 budget.