Today, the House Financial Services Committee is holding its semiannual
hearing with Federal Reserve Chair Jerome Powell on monetary policy and the state of the economy. Republicans will emphasize how Democrats’ spend-first-ask-questions-later approach and unsound fiscal policies will harm American job creators, workers, and families. Instead, we should be laser focused on getting Americans back to work.
Watch Republican Leader Patrick McHenry’s (NC-10) opening remarks here.
Read Republican Leader McHenry’s opening remarks as prepared for delivery:
“Thank you, Madam Chair. Chairman Powell, welcome back, albeit virtually.
“There is a great deal of uncertainty right now. What I am certain of is this—you have earned and deserve another term as Chair of the Federal reserve. You have proven to be a steady hand through the pandemic, our ongoing recovery, you have defended the independence of the Fed. Thank you for your service and leadership.
“Now, let me tell you everything you’re doing wrong. In all seriousness though, the Federal Reserve needs to be laser focused on our economic rebound.
“Instead, I’m seeing more headlines about the Fed’s actions to address issues like climate change—a noble cause, but a policy that should originate in Congress and not the central bank.
“As for our economic rebound, we are facing some very serious challenges. Put simply, America has a jobs problem. Not long ago there weren’t enough jobs. But that’s not the case this time.
“There are more than 9 million jobs waiting to be filled. Employers across the country are competing for labor—offering signing bonuses, back-to-work incentives, and higher wages.
“The National Federation of Independent Businesses released a survey yesterday reporting that 63% of small businesses have already increased wages to attract workers. We should be seeing a return-to-work boom, but we’re not.
“Throughout the spring, jobs numbers continued to fall short of expectations. Yes—the June jobs report showed that 850,00 jobs were added, but this misses the larger picture.
“The labor force participation rate remained unchanged at 61.6%. The number of long-term unemployed Americans increased by 233,000. And companies continued to struggle to hire enough workers to meet their business needs.
“We need a plan to get people back to work, not just in the short term, but for the long run. That’s what we should be focused on. I wish my Democrat colleagues felt the same way.
“Instead, they want to continue the spending binge on a laundry list of progressive ideas that have no hope of bipartisan support and have nothing to do with getting Americans back to work.
“The $2 trillion COVID package that passed in March wasn’t enough spending for them. So now we’re hearing that Senate Democrats want as much as 3.5 trillion in new spending and increase taxes on businesses of all sizes to help 'pay' for it.
“None of this is sustainable. This spend-first-ask-questions-later approach to fixing our economy will not work. Our economy simply cannot handle this level of spending. Long term, it will lead to sluggish growth, persistent unemployment, and a declining standard of living.
“Simply put, the Democrats are addicted to spending; taxpayers, families, and business owners will bear the consequences.
“We should instead focus on creating the kind of real economic growth that has proved to be enduring and stable. This means a focus on regulatory relief, sound money, and a competitive tax system.
“This will deliver the kind of broad prosperity that defines our uniquely American system of free enterprise.
“To have a recovery that works for all Americans, we need to get Americans back to work.
“I yield back.”
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