"Income inequality is real in America.  It’s time we start making sure our laws strengthen the middle class, not weaken it. The American people believe in fundamental fairness. It's about the nation in which we live, and what it means to realize the American dream"

WASHINGTON, DC-- Congresswoman Marcia L. Fudge (OH-11) today put forth an amendment to H. Res. 3582, the Pro-Growth Budgeting Act of 2011, to include income inequality among the variables used to determine the economic impact of federal legislation.  H. Res. 3582 requires the Congressional Budget Office to provide an impact analysis, in addition to a score, when legislation would have a budgetary effect greater than .25 percent on GDP. 

Congresswoman Fudge talks about the importance of the American Dream.

Watch here:

"Mr/Madam Speaker, I rise today to offer an amendment to H.R. 3582, the Pro-Growth Budgeting Act of 2011.

The Pro-Growth Budgeting Act requires the Congressional Budget Office to provide an impact analysis, in addition to a score, when legislation would have a budgetary effect greater than .25 percent on GDP.

The bill requires certain variables to be considered to determine economic impact.  As the bill is currently written, the only variables considered include impact on real GDP, business investment, the capital stock, employment, and labor supply. 

The bill describes these variables as “major economic variables.”

One of the most important “major economic variable” is missing from H.R. 3582. 

My amendment would insert “income equality” among the variables used to determine economic impact.  It would also require an estimate of the change in “income equality” to be included in an impact analysis. 

Income inequality is real in America.  It’s time we start making sure our laws strengthen the middle class, not weaken it.

America is the land of opportunity. It's a principal our great nation was founded upon.

Yet, in 2012, if you are born into a low-income family, you will most likely grow up to be poor.

Sixty-five percent of Americans born into families with earnings in the bottom fifth percentile stay in the bottom two-fifths, while sixty-two percent raised in families with earnings in the top fifth stay in the top two-fifths.

And America has become a wealthier nation, but the wealth has bypassed the middle class.  Between 1979 and 2007, American household incomes grew by sixty-two percent.

The top one percent of earners saw their incomes increase bytwo-hundred seventy-five percent over the past thirty years.  That means their incomes nearly quadrupled. In comparison, one-fifth of households with the lowest incomes only saw their incomes increase by eighteen percent. 

Although the pie is growing larger, middle class Americans are watching their slice get smaller.

Even some of my Republican colleagues have acknowledged the problem of economic mobility and wealth disparity in the U.S. 

Clearly, if impact analyses are going to be required of the CBO, the factors considered must include income inequality.

I urge my colleagues to support this amendment.  I reserve the balance of my time."

# # #