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It's actually going to be a short fourth of July holiday for the senate which is canceling its scheduled recess.
To continue working on -- debt ceiling deal and senate majority leader Harry Reid it was his idea to do that adding more fireworks to the already contentious debate.
Joining the president in calling for higher taxes on the wealthy in order to reduce the deficit.
If you were watching Bulls and Bears on Wednesday you know what Republicans such as Warren hatch think of that idea.
Describing it in perspective when -- -- sixty senators there and it couldn't get that passed the house expect to get a -- Now that he doesn't have been overwhelming majority in the United States -- Republicans have been pretty intransigent about any kind of tax hikes but Democrats feel there's room to do so.
Which side will give and joining me now for claimants moneymaker we are pleased to welcome Delaware senator Tom Carper welcome sir we appreciate you being here.
-- -- We David Stockman who of course was the budget director for President Reagan sitting on the set yesterday and he said you have to add some type of tax hikes in certain regards but.
He's not a decider at this point do you and your Republican brother and and the rest of the Democrats are the ones.
Are we going to see a massive impasse over this or do you see some bit of wiggle room here.
Ironically David Stockman and his budget director and -- 1982.
As part of -- negotiation and Ronald Reagan was our president Tim I think you raise taxes by several hundred billions of dollars in order try to closed theaters the deficit gap than.
-- guy who actually led a successful negotiations for -- reduction in Washington was Erskine Bowles he did in 1997.
-- -- used in chief of staff to President Clinton -- -- call.
And they come up with a deficit reduction deal -- actually bounce emerged not once not twice not three times in four years and that an arrow in it was a combination of spending cuts.
Across the board entitlement programs defense domestic and revenue -- -- roughly 5050.
And Erskine Bowles and as you know Alan Simpson about a similar negotiations last year and they recommended to us that we reduce the deficit by.
About four trillion dollars over ten years pre does on this -- side -- in revenue side.
Not by raising rates but by limiting some -- -- the tax breaks and tax expenditures which total.
Fifteen trillion dollars over the next what ten years if we just trim those by 10% -- one point five billion dollars which is about a third of what we need for serious deficit reduction plan.
So do you think in a way that of the opportunity will rise by saying we won't do tax hikes will just eliminate tax breaks would some Republicans that you've spoken with go for that.
-- somewhat somewhat what what I hear from most my Republican Brothers and -- didn't raising rates.
And are worked out but I think everybody knows in fifteen trillion dollars worth of tax expenditures tax breaks tax reductions and so -- tax credit there's got to be some some that are less worthy event others.
Tax expenditures are really another way to spend money -- -- we call them tax expenditures.
As opposed to spending but they're really spending by another name.
And it again after -- out of fifteen trillion dollars.
In tax expenditures we need to -- about 10%.
We don't have to raise rates but it that -- for you look card that down that list and find a combination that.
Doesn't really -- encourage people are new companies and you are indeed doesn't encourage investment in the infrastructure doesn't encourage -- development of our workforce.
OK now you know the defense issue as we now start to hear people on both sides finally say that there is room to cut defense spending certainly.
You of course where naval hero -- captain did three tours in Vietnam -- How do you feel about cutting defense.
Well I don't know there's a naval hero loved being in the navy I loved her for -- are -- here that's good enough for EF a a in the -- -- But.
If -- if you look at your GAO the Government Accountability Office.
Gives us a whole like -- shopping list of -- places that we can save money.
One of the places that they recommended his major weapon systems costs overruns last year it was 402 billion dollars.
400 billion dollars there's any number -- -- -- places we can save money.
The of the Department of Defense.
There's not fully report to improper payments government -- is about a 125 billion is probably another ten or twenty or thirty billion right there -- for the Department of Defense.
What we need to do is to change our culture from a culture of spendthrift or culture of -- we need to look at every nook and cranny of the federal government defense problems defense spending.
Isn't that what time out thousands of people lost their -- and is not what Simpson -- did and everybody said it's great it gonna be on the table but then nobody stepped up to the plate to just say implement it.
Well actually I hope is the president hopes up up to replace his commission.
He appointed the head of futures and the president -- needs to be the adult in the room and commentary what Democrats we're gonna have to consider something on the -- -- -- -- -- -- -- Has he gotten -- on their million at this point the president.
July 4 July 5 July 6 by -- well it's close listen senator thank you for joining us on this Friday we do appreciate it.
My question is -- season goes by so I'd love I 95 EZ pass yeah.
Up up up front I haven't even that's an -- -- open that actually -- will bring in our newsroom this country zip right through -- and it's.
Can you might -- -- stop thank you senator Tom Carper who is also a naval captain served so thank you for your service on this fourth of July we.
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