February 04, 2014
Senator Dan Coats (R-Ind.), senior Senate Republican on the Joint Economic Committee, today expressed deep concern about projected job losses due to Obamacare and the long-term debt forecast in the new Budget and Economic Outlook released by the non-partisan Congressional Budget Office (CBO).
The report reveals that Obamacare will reduce the number of full-time workers by more than two million as the full impact of the law is felt by the American economy.
“This non-partisan report confirms that Obamacare is a job-killer,” said Coats. “Ironically, many of the same people the law intends to help – low income families – are the ones being punished by Obamacare’s mandates on employers. One of the pillars of The Indiana Way, my legislative agenda for 2014, is promoting alternative solutions to replace Obamacare with step-by-step reforms. Millions of American jobs are dependent on limiting the negative impacts of the law.”
The CBO report also projects that the national debt will continue to rise rapidly over the next decade, peaking at 79 percent of gross domestic product by 2024. The gross federal debt in 2014 is projected to reach $17.7 trillion, which is a figure larger than the entire economy and an increase of over $7 trillion since President Obama took office.
“These findings are another siren alerting Washington to the stark reality that our country desperately needs a real debt-reduction agreement,” added Coats. “Making tough fiscal choices is the only way to stabilize the nation’s long-term financial future.”
The report finds that:
- Obamacare will reduce the number of full-time workers by 2.3 million people through 2021, a significant revision from the last estimate of 800,000 during the same time period.
- Mandatory spending and interest on the debt is projected to consume 94 percent of all federal revenues 10 years from now, squeezing out funding for other priorities.
- CBO projects Social Security will continue to run cash-flow deficits every year during the next decade.
- Labor force participation will continue to decline over the next several years to 62.5 percent by the end of 2017, fueled in part by disincentives to work in Obamacare.