November 01, 2012
I support ending the Bush tax cuts for those making over $250,000, modestly raising most capital gains taxes, and lowering corporate income taxes while abolishing certain corporate loopholes to produce a net gain in corporate tax revenues. I also support making our tax system easier to follow and eliminating deductions in general. Raising tax revenues, however, should be done as part of a grand, long-term deficit reduction plan similar to Simpson-Bowles, which I think is an excellent framework. Included in this should be targeted investments designed to make our country more competitive.
// Is there any circumstance in which you would support extending a pay freeze on federal employees and/or requiring current federal employees to contribute more to their retirement plans? Please explain. //
I strongly believe everyone will have to make sacrifices to put us on the path of fiscal responsibility. The notion of shared sacrifice for the common good is a central and defining feature of our character as Americans. One of the consequences of not dealing with the big issues that drive our fiscal situation — taxes, entitlements, and defense — is that discretionary spending gets unfairly squeezed. I believe that too often federal employees present a politically expedient target that doesn't actually end up making much of a fiscal impact and it is therefore unfair. Federal employees have already had a multi-year pay freeze and benefits have been reduced for new employees.
// The Congressional Budget Office projects spending on Medicare, Medicaid and other government health programs will more than double as a share of the nation's economy by 2037. What specific changes would you propose to reduce Medicare costs? //
I am supportive of Simpson-Bowles as a framework to begin to get our fiscal house in order, but at the same time I think the plan doesn't focus enough on the nuts and bolts of how to reduce future healthcare costs.
While I applaud the broad aspects of the Affordable Care Act as it relates to providing health care for all Americans, I think more needs to be done to reduce healthcare costs. As a country we spend twice as much on healthcare as compared to many highly developed nations and our outcomes are not much better. This is a significant problem, it indicates that our healthcare system is broken, and it affects the long term fiscal strength and competiveness of our country.
As long as healthcare costs continue to outpace GDP growth we will have serious problems paying for care and it will affect overall U.S. competiveness. While there are numerous ideas that have been considered to reduce healthcare costs, and many will work and many will not, the main issue is that Congress needs to show determination and begin to solve the cost problem in healthcare. Our current posture — doing nothing — will only make the problem more significant. Put another way, as a country we should try to be approximately right as it relates to fixing healthcare as opposed being precisely wrong. By doing something to lower costs we will be making progress, by doing nothing we are being precisely wrong. Our system has problems, and there are sensible steps we can and should take, including allowing Medicare to negotiate with the drug companies and further implementing technology to streamline record-keeping and costs.
// Would you support increased federal spending on highways and other infrastructure as a way to boost the construction industry? If so, how would you pay for it? //
Yes. Investing in infrastructure will create both short and long term economic growth. Put another way, it stimulates the economy in the short term and it "pencils out" in the long term by making our country more competitive. For our country to grow — which is the most important thing for us to focus on as an economy — our government needs to be investing in all form of infrastructure — transportation, communication and energy.
Infrastructure is one area where you very clearly need government to play a role and in the past this has been a bipartisan issue. Infrastructure is an area that the private sector wants to invest in, because it has historically been a very good investment. An infrastructure bank would facilitate public-private partnerships to rebuild our infrastructure. In particular it would combine the role of government in designing and implementing our infrastructure needs with the significant private capital currently available in our economy.
// Would you support U.S. military involvement in Iran if there were evidence that it was close to developing a nuclear weapon? //
I believe that the economic sanctions against Iran have been working, and should be given time. I agree with the president's overall position that all options should be on the table to prevent Iran from obtaining a nuclear weapon. The consequences are relevant to the whole world.
