| 00:01:54 |
Nelson, Bill - U.S. Senator, [D] Florida
ARE LOOKING FORWARD TO THIS STAR-SPANGLED PANEL THAT WE HAVE. IT'S THIS WEEK THREE YEARS AGO WAS THE COLLAPSE OF LEHMAN BROTHERS. AND WE HAVE YET TO RECOVER....
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| 00:13:41 |
Crapo, Michael "Mike" - U.S. Senator, [R] Idaho
TODAY WITH REGARD TO OUR ECONOMIC AND FISCAL POLICY, TAX REFORM IS ONE OF THE KEY PIECES THAT WE MUST NOT ALLOW TO BE IGNORED. AS YOU KNOW, I'VE BEEN...
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| 00:21:02 |
Greenspan, Alan - Chair
BEFORE THIS COMMITTEE. IT'S AN EXTREMELY IMPORTANT SUBJECT AND I'M GLAD THE CONGRESS IS TAKING A VERY PRONOUNCED EFFORT TO COME TO GRIPS WITH IT. TAX...
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| 00:26:39 |
Taylor, John B. - Professor
THEREFORE, LOWER UNEMPLOYMENT, AND COMPREHENSIVE REFORM OF FISCAL POLICY IS A BIG PART OF THAT. I THINK FOR THE PAST SEVERAL YEARS WE HAVE FOCUSED...
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| 00:31:11 |
Feldstein, Martin S. - President and CEO
OPPORTUNITY TO TESTIFY. I'VE BEEN TALKING ABOUT TAX EXPENDITURES AND ABOUT PRO GROWTH TAX REFORM FOR MANY YEARS, INDEED EVEN BEFORE I SERVED AS CHAIRMAN...
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| 00:39:08 |
Engler, John M. - President
MY CREDENTIALS AS A THREE-TERM GOVERNOR, AFTER 25 YEARS WE WERE ABLE TO GET MICHIGAN BACK TO A AAA RATED STATE. AP SHAT THE CHALLENGE IN FRONT OF...
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| 00:44:49 |
Kleinbard, Edward - Chief of Staff
16% OF GDP FOR THE LAST THREE YEARS. AT THE SAME TIME WE ARE SPENDING OUTLIERS IN TWO LARGE RESPECTS. AND SINCE SPENDING DETERMINES THE LEVEL OF...
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| 00:49:38 |
Q&A, -
FOR YOUR QUESTIONS. GENTLEMEN, HOW MUCH REVENUE COULD CONGRESS
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| 00:49:48 |
Nelson, Bill - U.S. Senator, [D] Florida
EXPECT, REALISTICALLY, TO BE GENERATED BY BROADENING THE TAX BASE, ELIMINATING TAX EXPENDITURES AND CLOSING THE LOOPHOLES? LET'S JUST GO RIGHT DOWN...
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| 00:50:16 |
Greenspan, Alan - Chair
ARE DEALING WITH IS A MAJOR PROBLEM IN THIS COUNTRY IN WHICH WHAT WE ARE PROMISED IN THE WAY OF ENTITLEMENTS IS IN PHYSICAL VOLUME TERMS MORE THAN I THINK...
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| 00:54:50 |
Taylor, John B. - Professor
DISAPPOINTED ABOUT HOW MUCH EXTRA REVENUE YOU RAISE. IF WE HAVE A STRONGLY GROWING ECONOMY, SAY LIKE WE HAD AFTER THE RECESSION IN THE EARLY '80s, 6%...
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| 00:56:02 |
Feldstein, Martin S. - President and CEO
TO THINK ABOUT WHAT THE EQUIVALENT OF PERCENTAGE OF AGI IS FOR THE CORPORATE SIDE, BUT I HAVEN'T LOOKED AT THAT. I DO KNOW THAT IF YOU LOOK AT THE TAX...
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| 00:57:50 |
Engler, John M. - President
THE COMMITTEE OF SOMETHING THAT I REMEMBER THIS COMMITTEE WAS PART OF. BACK IN '95 AND '96 WE WERE DOING WELFARE REFORM. I THINK THAT STILL STANDS...
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| 00:59:24 |
Kleinbard, Edward - Chief of Staff
HEAD. I COME UP WITH ABOUT -- I'M ROUNDING HERE, ABOUT $4.5 TRILLION. AND THE WAY I GET THERE IS, FIRST, THE ITEMIZED DEDUCTION. IT'S SOMEWHERE IN...
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| 01:01:32 |
Crapo, Michael "Mike" - U.S. Senator, [R] Idaho
THE 14 OR SO TRILLION THAT THERE IS NOW IN THE TAX CODE? >> BY WAY OF TAX EXPENDITURES, YES. AND MOST OF THOSE WOULD BE ON THE CAPITAL INCOME SIDE...
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| 01:03:48 |
Greenspan, Alan - Chair
EVERY DAY THAT DEFICIT SITS OUT THERE AT A TRILLION-PLUS ANNUAL RATE, WE ARE ADDING TO THEt( DEBT, AND IN ORDER TO REDUCE THAT DEBT, WE HAVE TO RUN...
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| 01:06:10 |
Taylor, John B. - Professor
NEUTRAL WAY. THE STRATEGY OR THE PLAN OF -- FOR THE BUDGET I OUTLINED ORALLY AT THE BEGINNING INTO MY WRITTEN TESTIMONY HAS THAT BUILT INTO IT. AND...
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| 01:06:44 |
Feldstein, Martin S. - President and CEO
DO THAT PROBABLY PUTS TOO MUCH INTO DEFICIT REDUCTION AND -- SORRY, INTO RATE REDUCTION AND NOT ENOUGH INTO DEFICIT REDUCTION. I THINK WE DO HAVE TO...
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| 01:08:09 |
Engler, John M. - President
THE CONCEPT OF DEFICIT NEUTRALITY. THAT CAN ALTER THINGS A LOT DEPENDING ON HOW YOU PLAY THAT. I WOULD SAY ON THE BUSINESS SIDE, A RATE REDUCTION...
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| 01:08:46 |
Kleinbard, Edward - Chief of Staff
HOW MUCH REVENUES WE NEED. AND HERE I THINK WE ARE ALL PERHAPS NOT KEEPING ON THE TABLE THIS INESCAPABLE DEMOGRAPHIC FACT THAT THE COUNTRY IS GETTING...
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| 01:10:14 |
Bingaman, Jeff - U.S. Senator, [D] New Mexico
I WOULD STILL JUST LIKE A LITTLE MORE CLARIFICATION ON IS WHETHER OR NOT AS CONGRESS APPROACHES THIS WHOLE IDEA OF TAX REFORM, DO WE NEED TO RAIL...
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| 01:11:04 |
Feldstein, Martin S. - President and CEO
TO REDUCE MARGINAL TAX RATES. >> SO WE SHOULD RAISE ADDITIONAL REVENUE. IT'S JUST A QUESTION OF HOW WE USE THE ADDITIONAL REVENUE? >> IF YOU ELIMINATE...
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| 01:11:50 |
Taylor, John B. - Professor
INCREASE? >> I THINK GROWTH IS SO IMPORTANT. ECONOMIC GROWTH. AND THAT'S WHERE IF YOU THINK THE REVENUES WILL COME -- CLASSIC TAX REFORM IS WHAT I WOULD...
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| 01:12:29 |
Greenspan, Alan - Chair
IS A RECOGNITION OF THE BUSH TAX CUT SS OF THE YEAR 2001 AND 2003, ESSENTIALLY REFTD ON THE CONCEPT OF LOOKING AT FOR A LARGE PERIOD SURPLUSES. AN...
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| 01:16:09 |
Wyden, Ronald "Ron" Lee - U.S. Senator, [D] Oregon
I WANT TO ZERO IN ON THE JOBS ISSUE WITH RESPECT TO THIS TOPIC. AND START WITH YOU, IF I COULD, DR. FELDSTEIN. AS YOU KNOW, I'M VERY SYMPATHETIC TO...
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| 01:19:20 |
Kleinbard, Edward - Chief of Staff
SUMMARY. I BELIEVE QUITE STRONGLY THAT THE CORPORATE RATE IS TOO HIGH. I ALSO BELIEVE, FRANKLY, THAT TOO MUCH ATTENTION HAS BEEN PAID TO THE PLEA OF...
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| 01:22:14 |
Feldstein, Martin S. - President and CEO
CORPORATE. I WAS THE COORDINATOR OF THE PRESIDENT'S ECONOMIC RECOVERY ADVISORY BOARD FOR PRESIDENT OBAMA'S TAX STUDY. AND WE SPENT A FAIR AMOUNT OF...
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| 01:24:31 |
Engler, John M. - President
WELL. I BELIEVE THAT THAT CERTAINTY CERTAINLY -- AND I MENTIONED REGULATORY REFORM IN A NUMBER OF OTHER AREAS. IT'S ACROSS EVERYTHING TODAY. BUT YOU...
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| 01:28:40 |
Kleinbard, Edward - Chief of Staff
24%, WELL, FROM MEMORY, AND I MAY BE WRONG HERE, BUT FROM MEMORY, CHINA'S TAX RATE IS 25%. SO THE WORLDWIDE TAX CONSOLIDATION WOULD ADD NO BURDEN...
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| 01:31:41 |
Crapo, Michael "Mike" - U.S. Senator, [R] Idaho
RESIST ASKING THIS ONE LAST QUESTION. THERE'S BEEN A LOT OF DISCUSSION BY EVERY MEMBER OF THE PANEL TODAY ABOUT THE FACT THAT THE -- THAT WE HAVE TO...
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| 01:33:44 |
Greenspan, Alan - Chair
THE CURRENT SERVICES PROJECTIONS OF THE DEFICIT ARE TOO LOW. AND THAT WHAT WE DO KNOW WHEN YOU LOOK AT HISTORY IS THAT THERE IS A TENDENCY ON THE...
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| 01:36:46 |
Taylor, John B. - Professor
BE ABOUT $3 TRILLION LEFT TO DO. AND WHAT I MEAN BY THAT, THE AMOUNT THAT IF IT'S ON THE SPENDING SIDE THAT TAKES SPENDING TO 19.5% OF GDP, IN FACT,...
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| 01:38:10 |
Feldstein, Martin S. - President and CEO
GDP RATIO. I THINK A REASONABLE GOAL WOULD TO BE GET IT DOWN TO 60% AND STABILIZE IT THERE. THAT WOULD BE BETTER TO HAVE IT LOWER, BUT DOING THAT...
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| 01:38:52 |
Engler, John M. - President
UNEMPLOYMENT RATE, GDP THAT CAN'T HARDLY GET TO 2%, WE CAN'T CUT ENOUGH OR TAX ENOUGH PROBABLY TO GET OURSELVES OUT OF THE HOLE OVER THE HORIZON. >> THANK...
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| 01:39:15 |
Kleinbard, Edward - Chief of Staff
OF 1.5% OF GDP. AND THAT IS, YOU KNOW, I THINK IN THE BALLPARK OF WHERE WE NEED TO BE. THE TROUBLE IS IN DOING THAT, CBO ASSUMES THE EXPIRATION, NOT...
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| 01:41:25 |
Nelson, Bill - U.S. Senator, [D] Florida
OPINE ON THIS. DO YOU HAVE ANY FAVORITES AMONG THE TAX EXPENDITURES THAT YOU WOULD LIKE TO GET RID OF? THAT YOU PARTICULARLY THINK ARE A DRAG ON THE...
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| 01:42:20 |
Greenspan, Alan - Chair
OF A SLUGGISH ECONOMY. AND THE NEED TO GET MORE REVENUES. I DO THINK WE OUGHT TO KEEP IN MIND THE STUDIES THAT HAVE BEEN MADE WITH RESPECT TO REDUCING...
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| 01:45:58 |
Feldstein, Martin S. - President and CEO
TAXES, GENERALLY THOSE TAX INCREASES ARE INCREASES IN MARGINAL TAX RATES OR INCREASES IN BUSINESS TAXES. VERY DIFFERENT FROM REDUCING TAX EXP REDUCING...
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| 01:47:03 |
Engler, John M. - President
SHOWED PRETTY CLEARLY IS PEOPLE WERE MOBILE, AND WE WERE LOSING PEOPLE. I THINK THERE'S BEEN SOME EVIDENCE LATELY, IN OTHER STATES, WHERE TAX INCREASES...
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| 01:48:59 |
Taylor, John B. - Professor
GREENSPAN INDICATED YOU SHOULDN'T WORRY TOO MUCH ABOUT GOING TOO FAR WITH THAT. BUT EVEN THE PROPOSAL I LAID OUT THAT TAKES SPENDING TO 2 1/2% OF THE...
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| 01:50:08 |
Feldstein, Martin S. - President and CEO
ELIMINATE IT FOR CHARITABLE CONTRIBUTIONS. THE PROPOSAL TO -- THE PRESIDENT'S PROPOSAL TO LIMIT THE CHARITABLE DEDUCTION TO 28% MARGINAL TAX RATE. ...
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| 01:51:24 |
Kleinbard, Edward - Chief of Staff
FACT, SOME TAX INCREASES ARE SPENDING CUTS. THAT'S THE WHOLE POINT OF THIS TAX EXPENDITURE DISCUSSION. YES, WE NEED TO CUT SPENDING BUT THE WAY TO...
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| 01:52:33 |
Greenspan, Alan - Chair
WAS VERY DISPIRITING, BECAUSE I RECALL ELABORATE DISCUSSIONS WITH RESPECT TO BRINGING THE MARGINAL TAX, EXPAND THE BASE, BRING MARGINAL TAX RATES...
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| 01:54:18 |
Wyden, Ronald "Ron" Lee - U.S. Senator, [D] Oregon
CURRENT CONGRESS CAN EVER TOTALLY BIND A FUTURE CONGRESS, BUT WE SURE CAN FIND SOME HOOPS THAT ANYBODY WHO WANTS TO UNRAVEL TAX REFORM WOULD HAVE...
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| 01:55:31 |
Nelson, Bill - U.S. Senator, [D] Florida
PUBLIC IS POISED TO ALLOW US TO GET OUT OF OUR INDIVIDUAL SELFISH INTERESTS, AND I DON'T USE THAT WORD DEROGATORILY BECAUSE WE HAVE TO, TO LOOK...
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NOTE: The transcript for this program was compiled from uncorrected Closed Captioning.