Congressman Boehner has fought against so-called “earmarks” since his first run for Congress, opposing the culture of pork-barrel spending that plagues Washington.
And now, two months after Boehner led House Republicans in adopting a unilateral ban on earmarks, a new Harvard Study concludes that Congressional earmarks aren’t just wasteful – they actually hurt job growth and harm local communities. The Wall Street Journal says lawmakers aren’t “bringing home the bacon” – they’re “bringing home less economic prosperity”:
“For Members of Congress, becoming a committee chairman means more power to spend and thus help for the home district, right? That’s certainly the common wisdom. But according to new research from Harvard Business School, the increased federal spending causes local companies to lose sales and cut back on research, payroll and other expenses. …
“[T]he research shows federal dollars ‘directly supplant private sector activity—they literally undertake projects the private sector was planning to do on its own.’
“The chairmanship of a powerful Senate committee such as Finance or Appropriations typically brings an increase of 40% to 50% in earmark spending for the home state. In the House, top dogs haul an average of 20% more to their states. Yet in the first year after a chairman’s rise, the paper notes, the average firm in his state ‘cuts back capital expenditures by roughly 15%.’ …
“‘Public spending appears to increase demand for state-specific factors of production and thereby compel firms to downsize and invest elsewhere.’ They add that ‘We also find evidence that the effects are most pronounced in sectors that are the target of earmark spending.’”
Boehner has led a broad effort by Republicans to cut government spending and root out waste, offering proposals to shut down TARP and using the remaining funds for deficit reduction; freeze all non-defense, non-veterans’ health care spending for five years; stop the bailouts and reform Fannie Mae & Freddie Mac; and much more.
But the Democrats running Congress today aren’t listening – they don’t even plan to pass a budget. So if you’d like to get involved and help Boehner in his fight to cut spending and create new jobs, click here and become a Boehner Campaigner today!
READ MORE:
- Time to Cut Spending: Boehner Tells 55KRC Congress Is Borrowing $.43 Out of Every Dollar Spent (5/25/10)
- Boehner, GOP Push Better Solutions As Democrats Lose Credibility (5/19/10)
- Boehner: It’s Time to Stop All This Wasteful Government Spending (5/19/10)
- Boehner: Dem Policies Are “Making Matters Worse” for Ohio (5/18/10)
- Democrats May Skip Passing a Budget While Ohio Families Struggle With 11% Unemployment (5/11/10)
