(Washington, D.C.)–Congressman Jim Langevin today voiced his opposition to Federal Reserve Chairman Alan Greenspan’s suggestion that Congress trim Social Security benefits for future retirees in order to reduce the budget deficit.  Greenspan made the comments in testimony before the House Budget Committee earlier today.

 “The President’s reckless economic policies are benefiting the wealthy and large corporations while leaving older Americans to foot the bill,” said Congressman Langevin.  “As the baby boom generation reaches retirement age, greater demands will be placed on the Social Security system, but further burdening on senior citizens is not the way to solve this problem.  What this country needs is an Administration that respects fiscal responsibility and recognizes that in a time of war and recession, we should not be giving trillion-dollar tax cuts to the wealthiest few.  Until then, the federal deficit will continue to burden our economic recovery through higher interest rates and stagnant job growth."

 After large surpluses during the Clinton Administration, which were at their height when President Bush took office, the federal budget deficit is expected to swell to $521 billion this year.  To combat the deficit, Chairman Greenspan recommended raising the retirement age from 65 to 67, with future increases over time.  He also suggested that Congress pay for future tax cuts by cutting spending, a proposal Langevin supports.  Greenspan further noted that the Bush Administration's tax cuts "also contributed to the deterioration of the fiscal balance."

 “As Congress debates various proposals to strengthen Social Security, let me make it clear that I will support neither benefit cuts nor retirement age increases," added Langevin.  "I applaud Chairman Greenspan's recognition of the importance of dealing with our deficit, but I will not punish America's seniors, who have worked all their lives to earn these benefits, for the mistakes of this Administration.”

-30-