On the recordDecember 3, 2010
I rise to support the Middle Class Tax Cuts Act of 2010, which gives permanent tax relief to struggling American families who need it most. By extending the current rates for 98 percent of taxpayers, this bill provides the certainty and security necessary to protect working Americans, while at the same time indicating that we need help and that we ask upper income Americans to help address our growing fiscal deficits. Make no mistake; extending current tax rates for the middle class is crucial in order to encourage economic growth. The economic turmoil of the last 3 years has left many American families cash-strapped and struggling to stay afloat. Every extra dollar is critically important. The evidence bears this out. Analysis by the Congressional Budget Office indicates that lower and middle-income taxpayers have a higher tendency to spend every dollar they earn. Consequently, by ensuring tax rates don't rise on lower and middle-income earners, we prevent a dramatic decline in consumer spending that could have a negative impact on this fragile economic recovery. Today's job numbers are bad. They indicate we are far below what is necessary to reduce the unemployment rate. Unemployment remains persistently high--12.4 percent or over 2.2 million people in my State, California, unemployed and 9.8 percent or 15.1 million people across America unemployed.
