: Financial Services Committee Chairman Spencer Bachus made the following statement regarding the State of the Union address:
“The American people know that the debt is a huge roadblock to economic recovery. Spending cuts must come first and they must be significant. ‘Targeted investment’ is a glorified phrase for more spending. During the financial crisis, government officials changed the term ‘toxic assets’ to ‘legacy assets’ to try to make them acceptable to the American taxpayer. Although the nation’s infrastructure is important, dressing up government spending as an ‘investment’ does not change the bottom line. Spending requires revenues, and revenues require taxation or borrowing.
“While a focus of the address was America’s international competitiveness, I am concerned that Administration policies are putting U.S. firms at a disadvantage compared to foreign companies. The Volcker Rule, derivatives, and many provisions of Dodd-Frank are raising costs for American businesses and sending jobs overseas. In addition, the Administration continues to kick the can down the road on Fannie Mae and Freddie Mac. We need a housing finance system that does not rely on government guarantees and subsidies and that stops taxpayer bailouts. As Chairman of the House Financial Services Committee, it my hope that we will find ways to work together to promote sustainable economic growth and jobs and that can only come from the private sector.”
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