Even a slimmed down “Build Back Better” agenda would mean crippling tax hikes on small businesses and families, argued Ways and Means Republican Leader Rep. Kevin Brady (R-TX) on “Your World with Neil Cavuto” on Fox News. He also addressed the Federal Reserve’s interest rate increases and the President’s denial about inflation.
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The Federal Reserve was in denial about inflation, and now Americans are paying the price:
“I think [the rate hike] had to happen. There was no seriousness at the Fed on tackling inflation. They were in denial about it. I think most people, and maybe the market as well, are more concerned about inflation than they are of higher borrowing costs.
“Inflation is accelerating. Wholesale prices worry everyone. Six straight months of double digits. The first quarter the economy shrunk and the second quarter may be shrinking as well. No one really sees something better for the last half of the year.
“My guess is there’s a general sense that inflation is the bigger fear. I think the Fed had to act more boldly. The question is will they continue to deal with the real life economic actions or just pray for some kind of price shock to get them out of this.”
Americans need real solutions to fight inflation, not President Biden’s crippling tax hikes:
“The Reagan recipe is exactly what we need right now to offset some of those higher borrowing costs and get the economy back on track. Certainly ending the COVID-era spending that fuels inflation would be hugely helpful. We should abandon the Biden tax hikes, and make the Tax Cuts and Jobs Act permanent, locking those lower rates in for families and small businesses and the investment incentives so companies can invest in that supply chain equipment.
“We also need to reconnect workers back to their jobs. The worker crisis – the worst I’ve ever seen in my life – is driving a lot of the inflation factors in our economy. We just haven’t seen any acknowledgement from the President. Those are some of the supply incentives he would be smart to put in place now, but he’s not going to.”
Democrats want to raise taxes, when other countries are lowering theirs to fight inflation:
“Their ‘slimmed down’ Build Back Better, which is still in play, is still $1 trillion to $1.3 trillion in tax hikes. Those are on small businesses, those are on those that invest the most in America and always will land in higher prices and on workers. Now is not the time to be complacent against stopping the Build Back Better taxes.
“Unfortunately, they are still in play, as crazy as that sounds. We have four other countries lowering their business rates to fight inflation and here we have a Democrat Senate that is still looking at increasing them. It doesn’t make sense.”