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Congressional Record—Senate S11744

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Congressional Record—Senate S11744 S11744 CONGRESSIONAL RECORD — SENATE November 14, 2001 which is one of the reasons I love the quicker—there is no question about the It seems to me we agree on providing President, even though I do not always fact that a little bit of money there incentives for investment through ex- agree with what he is agreeing to. produces a substantial economic re- pensing and through accelerated depre- In trying to get this moving, he sponse. ciation. It is in both bills. There has to agreed we were going to give tax cuts I think we should be doing more of be a compromise level. We differ great- to people who did not pay any taxes. that. When people ask what cutting tax ly as to what we really believe will That is like dropping money out of air- rates and accelerating the tax cut has stimulate the economy. The logical planes. I do not think it stimulates the to do with incentives to invest, do they thing to do, it seems to me, is to take economy because we took the money not realize that 80 percent of the in- half of the funds and do it through from taxpayers and are giving it to come tax paid by the top 1 percent of stimulation by lowering marginal tax people who did not pay taxes. taxpayers is paid by small businesses rates to encourage investment, which If we want to stimulate the economy, filing under subchapter S as individ- is what I believe works, and then tak- we have to find a way with the $75 bil- uals? The top tax rate is really a small ing the other half as the Democrats lion to get people to spend not only it business tax rate. When people are say- want to use it and spend it, whether but other things. We get that done by ing the average person in that tax they spend it on infrastructure or finding ways of spending the money bracket will earn $600,000 or $700,000 a whether they spend it in terms of that encourage other people to spend year, that average person is really Joe health benefits. their money. Unfortunately, the other Brown and Son hardware store in Texas In terms of health benefits, it is one people who are spending their money or West Virginia somewhere, and it is thing to help people with health insur- are people who have money and, hence, really their rate about which we are ance, but it is another thing to set up almost any stimulus package that is talking. a bureaucracy that probably would not worth anything could be criticized that I see that as a very important incen- even be in place until the recession was somebody who is wealthy is going to be tive. I have to say when I look at the over. So in terms of spending money on stimulated to invest their money and list of things we are doing, such as giv- health, I think there could be a com- they at least think they are going to ing movie producers and recording art- promise. benefit. ists and authors tax breaks, I would In terms of setting up this bureauc- The point is, America cannot be much prefer lowering the tax that af- racy, I do not think the President saved except at a profit. The fact that fects investment or spending money on would agree with that and I do not somebody will make money based on a highways as compared to that kind of think that could happen. We have to stimulus package is the end objective. expenditure. sit down and work out a compromise. I Let me turn to the whole question of There are two ways we can go about think the Nation wants us to do it. The infrastructure, and then I want to sum a stimulus package. If I could write the sooner we can get on with it, the better stimulus package, I would write it as up before I run out of time. In fact, how much time do I have? off we will be. follows: First, I would have cut the The PRESIDING OFFICER. The Sen- f capital gains tax rate. It does not cost ator has 2 minutes 27 seconds. RESERVATION OF LEADER TIME us anything for 2 years. Our experience Mr. GRAMM. The advantage of infra- with it, beginning at the end of the structure is that by improving infra- The PRESIDING OFFICER. Under Second World War, has been almost structure, private investment can be the previous order, the leadership time uniformly positive. I have argued for it induced. We get the impact not only of is reserved. incessantly. The President decided not building a north/south interstate high- f to propose it because he saw it as po- way system in Texas, which is what we ECONOMIC RECOVERY AND AS- larizing. need—I do not know what they need in SISTANCE FOR AMERICAN WORK- I also believe that making the tax West Virginia, but I know we are way ERS ACT OF 2001 cut permanent would stimulate the behind on highway construction, de- The PRESIDING OFFICER. Under economy and bring stability to the spite the success we have had recently the previous order, the Senate will now economy. It is very destabilizing to in which the Senator has been a leader. resume consideration of H.R. 3090, have a tax cut that is going to dra- But we can get a multiplier effect by which the clerk will report. matically change and, in fact, go away the private sector investing as infra- The bill clerk read as follows: in 9 years. All over America today, peo- structure is improved. ple who could be investing are taking If we are going to use infrastructure A bill (H.R. 3090) to provide tax incentives for economic recovery. $20,000 per child and locking it up in as part of a stimulus package, we have IRAs and in gifts to their children and to find a way to speed it up because in The PRESIDING OFFICER. The Sen- grandchildren to try to avoid the death the postwar period not much infra- ator from Montana. tax, even though we claim we repealed structure spending ever really got COMMITTEE AMENDMENT, WITHDRAWN it. It is coming back in 9 years. So peo- going until the recession was over. Mr. BAUCUS. On behalf of the Fi- ple who expect to live 9 years are using I will sum up by saying what I think nance Committee, I withdraw the com- up their resources planning for it. we need to do. First of all, I am going mittee amendment. A decision was made that making the to make a point of order against the The PRESIDING OFFICER. Without tax cut permanent would be too pro- pending amendment, not the under- objection, it is so ordered. vocative in a partisan sense, and so lying bill. The point of order is that AMENDMENT NO. 2125 that was not enough. the pending amendment violates the Mr. BAUCUS. Mr. President, I send Senator GRASSLEY put together a budget rules. We decided in the 2001 an amendment to the desk. good package given what we had al- budget that emergency designations The PRESIDING OFFICER. The ready agreed to take off the table. I for non-defense matters were being clerk will report. want to make the point—and I make it abused, and we eliminated them; they The bill clerk read as follows: because Senator BYRD is here. Senator violate the Budget Act. But they are The Senator from Montana [Mr. BAUCUS] Byrd is going to propose some infra- being used in violation of the Budget proposes an amendment numbered 2125. structure spending. It has a disadvan- Act, and therefore there is a 60-vote Mr. BAUCUS. Mr. President, I ask tage and an advantage, but it is one of point of order. unanimous consent that further read- the few proposals that is being made Everyone knows the bill before us is ing of the amendment be dispensed other than those that are targeted in not going to become law. So why not with. the sense of targeting investment, tax make it clear that is the case, so we The PRESIDING OFFICER. Is there cuts. can end these partisan debates that I objection? There is no doubt about the fact that know discourage people back home, Mr. BYRD. Mr. President, reserving accelerated depreciation—allowing and sit down around a table and work the right to object. people to spend so if they buy new cap- up a compromise. Compromise means The PRESIDING OFFICER. The Sen- ital equipment to create jobs or open a some people get some things they want ator from West Virginia reserves the factory they can write off more of it and other people get things they want. right to object. November 14, 2001 CONGRESSIONAL RECORD — SENATE S11745 Mr. BYRD. I ask unanimous consent The same is true for the alternative common defence.’’ It means to provide to be recognized when the Senator bill proposed by the President and/or for the defense of our homeland, as from Montana yields the floor. the minority party. There are not 60 well. ‘‘Provide for the common The PRESIDING OFFICER. Without votes for that either. So I agree very defence.’’ ‘‘Common’’ means common. objection, it is so ordered. much with the main import of the It is everywhere. It is common to all. It Mr. BYRD. Mr. President, I remove point made by the Senator from Texas; doesn’t single out any particular per- my reservation.
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