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Former Treasury Secretary Paul O’Neill on the need to rein in wasteful spending and balance the budget.
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But the -- the -- that you get somewhere would be.
A compromise.
Perhaps.
Three dollars in cuts vs one dollar in tax revenue which would mean -- -- -- some taxes but you have a lot of Republicans taking the tax pledge saying.
Absolutely no more tax hikes at all even if it means passing up some dollars in cuts for spend.
-- I believe the tax plan is and saying.
That people who would actually say.
That's their fiduciary responsibility.
They're not ever -- agreed to.
To raise the revenue we need to pay for things our society needs right so I think it would be great if we could get both of the principles to say.
I believe in the fight the F we should collect enough money so that we can pay for the things we need and want to have to society but let me representing lately and now if they want your thing.
We should also I believe say none of them have done this.
That's when our economy is growing at 303 and a half percent and unemployment of lower than sectors -- -- percent.
We should agree we will run a balanced budget or surplus.
In the plans that are on the table we will not have another balanced budget until 2030 or -- When he forty what if that's -- that's expecting that the economy will grow at a much greater rate that it is growing right now so these.
These are projections are just are just awful right -- but to push back on your point about tax pledge a lot of people say before we hear any talk about raising taxes we have to.
Be sure that the government's going to spend money less frivolously we look at a lot of the way.
In which that stimulus money was spent a lot of the projects that failed obviously cylinders -- a big example but there are dozens of others and not only in the field of energy but elsewhere.
Yet if the government is spending money so poorly why should we give them an extra dime.
President -- agree with that but I also believe -- you know.
Important thing that should be on the table were not being discussed so you've heard me say before I have more evidence now.
We're wasting a trillion dollars a year in the spending we do on health medical care.
In the form of infections that people get when they go into a hospital or nursing home they should never get.
In the form of patient falls in the form of 300 million medication -- a year.
And if we win if we went after.
Getting rid of -- breaks.
We wouldn't have to be talking -- Ryan doesn't his plan about rationing.
You know he's really talking about re distributing the financial responsibility.
Or a system that the.
-- travesty.
Treasury Secretary O'Neill used served.
Very very.
Boldly and strongly during the very difficult time -- point 2911 and all the issues there.
And of course what would never know but had knowing all of what's behind that job if -- would you have for serve again.
I'm too old.
Could you -- I'm too old for that.
But I -- you know I really do believe if you're prepared to work eighteen hour today seven days a week and you have a prospect.
-- actually giving sensible policies enacted.
Anyone -- bachelor of Geithner has done in the job.
You know I'm I'm disappointed in this sense.
We need fundamental fixes in the way -- current bargained for the economy work so.
We should I try to do this -- our secretary of treasury -- tried to get an agreement.
That we would get the IMF and the World Bank.
To say that they would never bail out another sovereign nation.
And if we -- that.
Sovereign nations would not be able to sell debt.
That doesn't have a high prospect of being paid back and we wouldn't have Greece and Portugal and Ireland and Spain and Italy and all the wrath.
Because all -- full would -- debt.
That doesn't have a guarantee from the IMF World Bank.
What for the last fifteen years we've agreed through this process to socialize.
Bad sovereign decisions was your topic.
That's something that Treasury Secretary could do -- give me your rapid treasury sector one -- you can't do was comment on the Fed you can I was the -- been doing very quickly.
That I think.
I I think the interventions they've made are okay but I think -- out of bullets.
And so when I hear people talk about QE3 I think you know.
Pretend that the Fed can't do more to fix our problem we need structural change we need fundamental tax reform in a nutshell.
We need.
A refundable.
Progressive.
Value added tax.
That doesn't cost a bloody fortune to administer like the one we have now and actually collects the revenue we need.
Treasury Secretary Paul O'Neill from the bush years thank you so much for joining us as measured always -- to have you here thanks a lot looking to add.
