Ohio Rep. Jim Jordan warns that the United States is headed for a Greece-style debt crisis if the federal government doesn’t reduce taxes and cut spending.
The Republican congressman, who sits on the House Committee on the Budget, also tells Newsmax that President Barack Obama’s new budget proposal is a “political document” — and asserts that the administration’s decision to reject the Keystone XL pipeline is “goofy.”
In an exclusive interview with Newsmax.TV on Tuesday, Jordan comments on the $3.8 trillion, deficit-heavy budget that the Obama administration released on Monday.
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“This budget is same old, same old — more taxes, more spending, more failure,” says Jordan, who was elected in 2006 and chairs the Republican Study Committee, the caucus of House conservatives.
“If big-government spending — big-government control — were going to get us out of this economic mess, we’d have been out of it a long time ago, because all the government’s done in this administration is more spending, more picking winners and losers in the marketplace, more tax increases, more talk of more spending, more talk of more tax increases, more regulation. It’s the wrong recipe.”
He denounces the new budget as a campaign gimmick, a “political document. It’s not serious when you think about the gravity of the fiscal problems that we face.”
Asked whether the “Buffett rule” calling for higher taxes on the wealthy will pass and if the Bush tax cuts will be allowed to expire, Jordan responds: “This answer is no and no. Somebody is going to have to explain to me how you create jobs by taxing the job creators. It makes no common sense.
“We have never seen this in the history of the country, where for four years in a row, it will run trillion-dollar deficits. When this term is up, this president will have taken the national debt from slightly over $10 trillion to over $16 trillion in four years.
“We are headed to a cliff, a true debt crisis, and President Obama wants to keep putting his foot on the gas and taking us to this cliff faster and faster.”
Some conservatives have asserted that the United States is headed for the same type of debt crisis that is afflicting Greece.
“If we don’t begin to turn this ship around — and that means lower taxes, really reducing spending and creating a framework that’s conducive to job growth — we are in fact headed there, because it’s simple mathematics,” Jordan tells Newsmax.
“Three months ago, we crossed a line you never want to cross — our debt to GDP ratio is now one to one. We have a $16 trillion debt. We have a $15 trillion to $16 trillion annual economy. Whenever you get in that area, that’s the danger zone. That’s exactly where Greece was, that’s where Italy is, that’s where so many countries in Europe that are having problems are. And now, the greatest country ever is in the same position.”
Despite rising gasoline prices, the Obama administration has declined to issue a permit for construction of the Keystone XL pipeline, which would take Canadian oil to refineries on the Gulf of Mexico.
“The decision to reject it is just goofy,” Jordan declares.
“It just defies common sense — why you wouldn’t support a pipeline from our closest neighbor Canada, an allied nation helping with our energy needs, why you wouldn’t okay that after years of study have already been put in place. In fact there are countless pipelines currently running under the ground. Again, it defies common sense. That is a bad decision and doesn’t help with the price of gasoline right now.
“This administration has decided they’re going to side with the radical environmentalists and the radical left and not do something that makes common sense.”
Jordan also charges that the administration’s policies are undermining the welfare reforms that were put in place in the 1990s. “They are more and more focused on big government Washington instead of empowerment through families and communities,” he says. “And I think that will be a big theme in this upcoming election.”
With Rick Santorum surging in the polls, Jordan was asked whether the former Pennsylvania senator could win the Republican presidential nomination and defeat Obama in November.
“Sure he could. I think whether it’s Santorum, whether it’s Governor Romney or Speaker Gingrich, I think if any of them are our nominee they can beat President Obama,” Jordan says.
“I think Americans want someone who is genuinely conservative, who understands that answers aren’t in Washington, the answers are with families and communities across this great country.
“I think all three of our potential nominees are making that case.”
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