Joe Lieberman: “I will vote for the Hollings amendment and wish to explain my reasoning. The amendment focuses on the consequences of…”

“I will vote for the Hollings amendment and wish to explain my reasoning. The amendment focuses on the consequences of the massive tax cut, namely that we are facing a Hobson's choice--either raid the Social Security and Medicare HI trust funds or forgo needed spending on defense, education and other priorities. This is a choice that will bedevil us for years to come until we come to our senses regarding a tax cut we can afford. The Hollings amendment seeks to avoid this Hobson's choice by rescinding a portion of the excessive tax cut. I would prefer that he rescinded aspects of the tax cut other than the rebates. I was an early advocate of rebates to help us with the current economic slowdown. I was disappointed in the rebate that was finally adopted in the tax bill because it is not being paid to tens of millions who filed tax returns, but I still support rebates. If we don't face reality regarding the tax cut, however, we will be faced again and again with the Hobson's choice regarding the trust funds. We have urgent priorities to modernize our defense establishment and to fund the education reform initiative, both issues where I have expended considerable effort over the years. The problem we will face is that so much of the government's revenue base has now been spent that any national priority that requires more support, like defense or education, will have to be shelved or funded at the expense of the trust fund surpluses.”