4 ways House Republicans want to reshape the US economy in 2023

The launch this week of the House of Republicans’ “Commitment to America” ‚Äč‚Äčintentionally echoed its famous predecessor, the 1994 “Contract with America”.

At the time, Newt Gingrich, who would later become Speaker of the House, sided with fellow Republicans and outlined his promises on September 27, 1994. Although Gingrich’s proposal included a 196-page book outlining 10 projects of read specific, this week’s effort offered more vague, one-page rate.

Still, it’s a look at Republican plans as to whether they will retake at least one chamber of Congress, as some experts predict. So far, Republicans have focused heavily on powerful political issues like immigration, crime and education, but this week’s launch also includes hints of economic plans.

“What the commitment is is a plan, a plan for a new direction,” House Minority Leader Kevin McCarthy said at a Republican rally Friday with his colleagues in Monongahela, Pennsylvania. “It’s about you, it’s not about us.”

House Republicans Unveil Commitment to America. Image: YouTube

Here are four key economic aspects of this week’s presentation, which touch blame the Democrats for high inflation; increase the production of fossil fuels; China; and the question of whether Republicans will change the “third track” of Medicare and Social Security.

Inflation, inflation, inflation

Inflation remains the main message of the GOP.

At the event in Pennsylvania on Friday, McCarthy focused on the American Rescue Plan approved last year as a key driver of inflation. “These Democratic policies have already taken a month of your salary,” he said before vowing to repeal the newly passed inflation reduction law as soon as the Republicans take control.

Republicans have long blamed Washington’s spending on inflation, while most economists point to a wider range of factors behind stubbornly high prices. However, many experts consider last year’s American Rescue Plan, which provided direct help to Americans, as a key factor in skyrocketing prices. Meanwhile, the Inflation Reduction Act likely won’t affect prices in any way despite its name, according to a widely cited study from the University of Pennsylvania business school.

In reality, Republicans would have a hard time repealing the inflation reduction law, especially since Biden would be sure to veto any bill to nullify his signature achievement that aims to fight climate change, reform health care. and support the Internal Revenue Service.

Republicans also promise new “fiscal policies and pro-growth deregulation” to fight inflation, with Rep Patrick McHenry, who would lead the House Financial Services Commission, stating that “the # 1 thing is to stop digging. the ditch “when it comes to fighting inflation. The second priority? Keeping an eye on the Biden administration.

An upcoming election debate on Medicare and Social Security

The rights only deserved a line in this week’s plan and it didn’t emerge at all during Friday’s event, but it’s likely to take center stage as a key talking point this fall.

House Republicans pledged this week to “save and strengthen social security and health care.” They offered no further details, but the mere mention of the two programs starts a fight with eager Democrats.

Biden’s party has focused on these rights since Republican Senate Campaign Chair Rick Scott released a plan in February that requires Congress to review “all federal legislation” – including social security and health care – every five years. GOP candidates in the United States have also suggested privatizing Medicare.

“The difference with older voters couldn’t be starker,” said Democratic Congressional Campaign Committee Chair Representative Sean Patrick Maloney (DNY) on Thursday. “Your choice is between a party that says we could take your Social Security and Medicare off every five years.”

Biden will highlight the issue again next Tuesday with a trip to Florida, a key state where many older voters live, to deliver a speech on lowering health care costs and strengthening health care and social security.

On September 22, 2022, United States President Joe Biden raises his thumb as he boards Air Force One at John F. Kennedy International Airport as it returns to Washington, DC.  (Photo by MANDEL NGAN / AFP) (Photo by MANDEL NGAN / AFP via Getty Images)

President Biden boards Air Force One after a trip to New York on Thursday. (MANDEL NGAN / AFP via Getty Images)

A focus on fossil fuel production

The GOP also reported a focus on increasing fossil fuel production in 2023 with the promise of “maximizing American-made reliable energy production” and “halving authorization times to reduce dependence on foreign countries, prevent continuous blackouts. and reduce the cost of gas and utilities “.

House Republican Steve Scalise on Friday said he was busy sending a bill to lower energy prices at Biden’s desk. “We will give him that dilemma; we will give him the opportunity to wake up,” he promised.

However, Senator Joe Manchin (D-WV), a close ally of the energy industry, is pushing his own efforts to reform the energy licensing process. While Republicans are generally keen to support energy reform efforts, many have sided against Manchin’s proposal alongside Liberal Democrats ahead of a likely vote next week.

MIDLAND, TEXAS - MARCH 13: An oil drilling rig in the Permian Basin oil field on March 13, 2022 in Midland, Texas.  US President Joe Biden has imposed a ban on Russian oil, the world's third largest oil producer, which could mean oil producers in the Permian basin will have to pump more oil to meet demand.  The Permian Basin is the largest oil basin in the United States.  (Photo by Joe Raedle / Getty Images)

An oil rig in Midland, Texas, seen earlier this year. (Joe Raedle / Getty Images)

Supply chains and China

Republicans also plan to focus on China next year.

“China has too much control over our supply chain; we will bring it back to America,” McCarthy said. In an editorial this week, he added that the GOP plan “modernizes outdated regulations to expand American manufacturing, strengthen our supply chain, and end our reliance on China for critical goods.”

Republican leaders reportedly conducted polls in which 23% of independents called China their “main problem”. However, details on a possible invoice are scarce. Lawmakers recently launched bipartisan efforts around supply chains – mostly related to medical supplies – without yet agreeing on a large-scale bill.

Also on Friday, House GOP leaders vowed to hold hearings on the origin of COVID and China’s role in the pandemic if they take control next year and are able to set the agenda.

Republican House Leader Newt Gingrich opens a ceremony outside Capitol Hill on September 27, 1994. About 300 Republican incumbents and challengers have signed a binding contract with the American people, which contains a 10-point reform program that a Republican majority will seek to implement in the first 100 days of the 104th Congress.  REUTERS / Ira Schwarz

The then Republican leader of the House Newt Gingrich during a ceremony on September 27, 1994 with about 300 Republicans to propagate the “Contract with America”. (REUTERS / Ira Schwarz)

Ben Werschkul is a Washington correspondent for Yahoo Finance.

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