WASHINGTON - Congressman Adam H. Putnam (FL-12), a member of the Rules and Budget Committees, welcomed Federal Reserve Chairman Alan Greenspan at a hearing on the future of the U.S. economy.

“I would like to thank Chairman Greenspan for offering his thoughts on a wide range of issues affecting our economy this morning,” said Putnam. “While our nation is clearly facing an unsustainable budget deficit, it’s important to acknowledge the remarkable economic recovery we are experiencing, the increase in jobs, as well as the startling growth in the rate of home ownership Our goal must be to continue on this path of strong recovery while simultaneously curtailing the rate of spending that we have seen over the last decade.”

“I applaud Chairman Greenspan for recognizing the consequences to the working-age population in the years ahead should nothing be done to address Social Security reform now,” said Putnam. “Any delay by Congress in addressing the issue limits options for reform and increases the costs of all options. We owe that to our younger workers.”

“Each year, there are more retirees taking money out of the system, with not enough additional workers to support them. Currently, Social Security has a total un-funded obligation under current law of more than $10 trillion,” said Putnam. “Personal accounts provide Americans who choose to participate with an opportunity to share in benefits of economic growth by participating in markets through sound investments.”

“In addition to Social Security, we must address other mandatory spending programs that have been running on ‘automatic pilot’ for decades,” said Putnam. “Our current budget is comprised of too high a percentage of mandatory spending programs. Our role here must be to re-evaluate the justification for their place in the entitlement side of the ledger.”

“Congress has worked in recent years to ensure that America has the resources it needs for its security. We are the taxpayer’s last line of defense against excessive and wasteful Washington spending,” Putnam stated. “I believe Congress must establish priorities in these difficult times, recognizing, not ignoring the fact that we are at war, and that defense needs cannot grow at current rates without concurrent trade-offs in other parts of the budget.”

“This year’s budget must offer long term solutions to generational issues facing us. Social Security, Medicare and Medicaid all find themselves on unsustainable glide paths into deficit oblivion,” concluded Putnam. “War and the threats to our homeland continue to draw resources out of the treasury and historic trade deficits reflect an unhealthy imbalance. The easy decisions are behind us; now is the time to earn our keep.

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