July 3, 2008

Frank Statement on Job Numbers

Washington, DC - House Financial Services Committee Chairman Barney Frank (D-MA) released the following statement on today’s job numbers: 

            “The extremely weak June employment report, combined with the downward revisions in the April and May employment estimates, underscores the need for Congress and the President to act immediately to inject significant fiscal stimulus into our faltering economy.  At the current pace the economy will lose almost one million jobs in 2008 alone.

            “That stimulus should be built around two crucial needs: providing assistance to hard-pressed state and local governments battling with declining tax receipts as the result of both the continuing foreclosure crisis and growing unemployment; and, temporary increases in programs, like food stamps, that provide direct assistance to families facing reduce incomes and soaring prices for basic necessities.  The legislation recently passed by the House which will provide $15 billion to state and local governments to purchase, rehabilitate and return already foreclosed properties to occupancy is an example of what we should do, as is an increase in the Medicaid match rate – which would provide states some fiscal relief and should be structured to ensure that state governments do not reduce Medicaid or SCHIP eligibility to address budget shortfalls.”