Wicker Urges Leadership, Solutions as Shutdown Approaches

Working Americans Face Extraordinary Challenges in Obama Economy

September 30, 2013

In the days leading up to October 1, when the new fiscal year begins, Republicans in Congress joined in favor of legislation with two important goals – preventing a government shutdown and defunding the President’s costly and deeply unpopular health-care law.

The legislative debate was expectedly contentious, with Democrats holding the majority in the Senate and Republicans maintaining control in the House of Representatives.  Noticeably absent was President Obama, who again failed to utilize his role at a crucial moment for leadership.

I supported the House legislation to defund Obamacare, and I continue to seek ways to protect Americans from its harmful mandates.  In the absence of the health-care law’s full repeal, lawmakers and the President have a responsibility to address Americans’ growing concerns.

Washington Gridlock Causing Uncertainty

Achieving reform in a divided government is often difficult, requiring tough decisions from both political parties.  The example set by President Reagan and House Speaker Tip O’Neill three decades ago is still relevant today.  Despite vast political differences, the two leaders found common ground while keeping the best interests of the country intact.

Mississippians are not alone in worrying about the persistent uncertainty and gridlock that has come to characterize Washington.  The habit of lurching from crisis to crisis distracts from urgent priorities like job creation and economic growth.

The latest job numbers are just one barometer reinforcing the need for a lasting economic turnaround.  Unemployment continues to hover above 7 percent, and the size of the U.S. workforce is the smallest it has been in 35 years.  According to the Brookings Institution, America still lacks 8.3 million jobs for a full economic recovery.

‘Disruptive Consequences’

Most Americans agree that a government shutdown could weaken an already fragile economy.  The shutdowns during the Clinton Administration cost $1.4 billion, furloughed hundreds of thousands of Americans, and sharply slowed economic growth.  A new economic report shows even a two-week shutdown would reduce gross domestic product in the fourth quarter by 0.3 percent.  According to the independent Congressional Research Service, a shutdown could also lead adversaries to believe that America is “physically and politically vulnerable.”

Earlier this month, the U.S. Chamber of Commerce urged the House of Representatives to fund the government and raise the debt ceiling in a timely manner, warning of the harmful toll on business.  As the organization wrote to members, “It is not in the best interest of the U.S. business community or the American people to risk even a brief government shutdown that might trigger disruptive consequences or raise new policy uncertainties washing over the U.S. economy.”  In a recent Business Roundtable survey, 50 percent of executives said disagreement in Washington would have a negative impact on hiring in the coming six months.

From Alarm to Action

Making progress in a divided government is not easy.  It requires addressing the extraordinary challenges faced by hard-working Americans in today’s Obama Economy.  According to the Census Bureau, a typical American family earns less today than an American family did in 1989.  Instead of a stronger middle class, a record 46.5 million Americans are living in poverty.

These statistics are not the only reasons for alarm.  The federal debt continues to skyrocket on a dangerous trajectory, and a health-care law with job-killing taxes and burdensome regulations remains on the books.  Washington must not wait for a crisis to spur solutions.  The pressing issues of our day demand undivided attention and meaningful negotiation now.