The Three Things You Need To Know About the House GOP Budget

March 19, 2015
Blog Post
1. Destroys American Jobs:

Economic Policy Institute:  "…the House GOP budget resolution would damage economic growth in coming years in quite predictable ways.  I estimate that the House GOP budget cuts would reduce GDP by 1 percent in FY 2016 and decrease payrolls by 1.3 million jobs relative to CBO's baseline economic and budget projections.  It gets even worse in FY 2017 – GDP would be reduced by almost 2.5 percent with payrolls decreasing by 2.9 million jobs." [3/19/15]

2. NCPSSM States:  GOP Budget Will End Medicare Guarantee and Shift Costs to Seniors:

National Committee to Preserve Social Security and Medicare:  "Once again, the House GOP's budget would privatize Medicare with a voucher plan, leaving seniors and the disabled – some of our most vulnerable Americans – hostage to the whims of private insurance companies.  Over time, this will end traditional Medicare and make it harder for seniors to choose their own doctor.  Vouchers will not keep up with the increasing cost of health insurance – that is why seniors will pay more."   [3/17/15]

3. Paves the Way for the Romney-Ryan Tax Plan to Cut the Tax Rates of Millionaires:

This year, the House GOP budget is deliberately vague on its tax plan.  However, since Rep. Paul Ryan is now chairman of the Ways and Means Committee, it is logical to assume that the House GOP tax plan this year is the same Ryan tax plan spelled out in the House GOP budgets of the previous four years.

Citizens for Tax Justice in 2014 on the Romney-Ryan Tax Plan:  "…under Ryan's [tax] plan taxpayers with income exceeding $1 million in 2015 would receive an average net tax decrease of over $200,000 that year even if they had to give up all of their tax expenditures. These taxpayers would see an even larger net tax decrease if Congress failed to limit or eliminate enough tax expenditures to offset the costs of the proposed tax cuts." [4/2/14]

Tax Policy Center:  The nonpartisan Tax Policy Center analyzed the Romney-Ryan tax plan in 2012.  It pointed out that the Romney-Ryan tax plan was stated to be deficit-neutral.  The Tax Policy Center found that, under the Romney-Ryan plan, to offset the cost of the large Romney-Ryan tax cuts going to households with incomes above $200,000, taxes on middle-class families with children would have to be raised by about $2,000 on average.  [8/1/12]