Jon Huntsman - Debt, Deficit, Spending, and the Size of Government
Last Updated: Dec 13, 2011
Summary
Governor Huntsman states that he supports a balanced budget amendment. During the 2011 debt crisis, Governor Huntsman stated that he would have voted to raise the debt ceiling provided that it was accompanied with a similar amount of spending cuts. He supported the compromise to create the committe of 12, largely because it forced a vote on a balance budget amendment.
George Stephanopoulis
In May of 2011, Governor Huntsman was interviewed by George Stephanopoulis. He was asked about whether or not he would vote for a debt ceiling raise and states that he supported the Boehner plan.
George Stephanopoulos: Would you vote to increase the debt limit?
Jon Huntsman: I would vote to increase the debt limit if there was a corresponding level of cuts. And if there was some serious talk about a balanced budget amendment, which we as governors always had to deal with. I know it sounds unlikely. It's been discussed before. But I'm guessing if you went out to most of the American people, you'd probably hear that that's something that they would see as totally rational.
George Stephanopoulos: And that would be your condition?
Jon Huntsman: My condition would be a corresponding number of cuts that would be commensurate with whatever--
George Stephanopoulos: What Speaker Boehner has called for?
Jon Huntsman: What he's called for. We've raised the debt ceiling in ten years, and look where we are.
WFLA Radio
In July of 2011, Governor Huntsman was interviewed by WFLA radio and discussed the need to reign in spending. He also discussed his support for a balanced budget amendment.
The Boehner Plan
In July of 2011, Governor Huntsman appeared on CBS and discussed his support for the Boehner plan, tax reform, and a balanced budget amendment.
The Debt Ceiling Compromise
On July 31, 2011 Governor Huntsman released a statement on his blog noting his support for the debt ceiling compromise that created the supercommittee of 12 and forced a balanced budgement amendment vote.
Governor Jon Huntsman Statement on Debt Ceiling Deal July 31, 2011 "While this framework is not my preferred outcome, it is a positive step toward cutting our nation's crippling debt.
"Because the legislation promises cuts commensurate with the debt ceiling increase, forces a vote on a much-needed federal balanced budget amendment and provides the only avenue to avoid default, I encourage members of Congress to vote for this legislation.
"While some of my opponents ducked the debate entirely, others would have allowed the nation to slide into default and President Obama refused to offer any plan, I have been proud to stand with congressional Republicans working for these needed and historic cuts. A debt crisis like this is a time for leadership, not a time for waiting to see which way the political winds blow.
"Going forward, I will aggressively advocate for a plan from the congressional committee that includes real cuts, entitlement reform, and revenue-neutral tax reforms -- without any tax hikes.
"The Republican members of Congress deserve tremendous credit for moving this debate to the forefront and at long last beginning to get Washington in line."
Iowa Debate
In August of 2011, Governor Huntsman participated in the Presidential debate in Ames, Iowa. He was asked about No Child Left Behind and stated that he did not support the program.
BAIER: Governor Huntsman, this week, the Obama administration announced that they would grant waivers to some failing public school systems that couldn't meet the standard of the No Child Left Behind program. If you were president, would you return to full enforcement of this Bush-era law?
HUNTSMAN: No Child Left Behind hasn't worked for this country. It ought to be done away with. We need to take education to the local level, where parents and local elected officials can determine the destiny of these schools. Nobody wants their schools to succeed more than local elected officials and their parents.
We need choice. We need vouchers. We need more technology in the classroom.
But let me just say, on the default, while I can, just for a moment. I'm the only one on this stage who stood up for a deal, for the Boehner deal, against this nation defaulting. I know I'm a little different than everybody else in that regard.
We are 25 percent of the world's GDP. We are the largest financial services sector by far in this entire world. And the thought that people would just let this nation default when we could have a deal that at least gets things going on cuts, raising the ceiling, gets us toward entitlement reform, gets us toward a balanced budget amendment. I thought Speaker Boehner should be complimented for what he did. This nation should never default. (APPLAUSE)
CNN National Security Debate
On November 22, 2011 Governor Huntsman participated in the national security debate on CNN. Governor Huntsman agrees that Defense spending cannot be a sacred cow that can never be reduced.
BLITZER: Governor Huntsman, where do you stand on defense cuts?
HUNTSMAN: Well, let's face the economic reality. Let's face the deficit reality we have as a country. We have an economic deficit. And I'd argue that 70 percent debt-to-GDP is a national security problem because, at some point, you just don't grow any more, when your debt becomes that.
I mean, look at Japan. They're in their third decade of lost growth. Look at Greece. Look at Italy. So I'd say, aside from that, we've got another deficit in this country. It's called the trust deficit.
People have lost trust in their institutions of power in America. They don't trust Congress. They don't trust the executive branch. They don't trust Wall Street. The list goes on. We've got to fix both those deficits.
As it relates to defense spending, let's be realistic about this. We can't have an intellectually honest conversation about where we go with debt and spending with sacred cows. Everything's got to be on the table. The Defense Department's got to be on the table, for haven't sake. But we need to have a Defense Department and a budget for the Defense Department. If we can't find some savings in the $650 billion budget, we're not looking closely enough.
But we need spending for the Department of Defense that follows a strategy. And that strategy needs to follow how we best protect the American people now that we're in the second decade of the 21st century.
And I believe our national security strategy and our foreign policy increasingly needs to follow, number one, economic policy.
It used to break my heart sitting in Beijing, the second largest embassy in the world, looking at neighboring Afghanistan. We'd have 100,000 troops there. The Chinese would move in and take the mining concession. And I'd say there's something fundamentally wrong with this picture.
When are we going to get with the program and determine that foreign policy will be driven by economics, that which plays right back to strengthening our core (ph)...
(APPLAUSE)
... and creates jobs here on the home front.
And, second of all, let's face the reality that we have a counterterror threat for as far as the eye can see.
Professor Wolfowitz was just up here. I know he's done a lot of work on -- for as far as the eye can see, and that means not only in Afghanistan but every corner of the world. We've got to prepare for the reality that counterterrorism is here to stay. We need friends and allies who are in this fight with us. We need special forces response capability. We need defense spending that will match the realities of where we find ourselves.
CBS Foreign Policy Debate
On November 11, 2011 Governor Huntsman participated in the CBS foreign policy debate. He specifically endorses the Paul Ryan plan in citing the need to control the debt.
Major Garrett: Governor Romney, that's time. Governor Huntsman, please-- address Senator Demint's question, if you would, sir.
Jon Huntsman: Thank you, Senator Demint. It's an honor to be with you in your state-- as-- as it is-- many other great leaders of South Carolina. I think it's absolutely appropriate that-- Admiral Mullen would say that our most significant national security threat is right here at home. And it's our debt. I completely buy into that.
And if we're gonna get this nation moving in the right direction, we need to recognize that debt, as 70 percent of our GDP and moving up, becomes a national security problem. You look where Japan is, well over 100 percent debt to GDP. Greece, 170 percent-- to GDP. Italy, 120 percent.
So you get a sense of where our tomorrow is if we don't tackle the debt and spending. My speech was a very short one on debt and spending. It's three words: The Ryan Plan. I think The Ryan Plan sets out a template that puts-- everything on the table. Medicaid-- like-- Governor Romney, I'd send back to the states. Education, I wanna move closer to the states. You move education closer to the decision makers, the school boards, the families, you're a whole lot better off.
And I think there are some economic development functions, as well, legitimately that you can move closer to the state. But we've got to get our spending closer to 19 percent-- of our GDP as opposed to this unsustainable 24, 25 percent.
Michigan Economic Debate
On November 10, 2011 Governor Huntsman participated in the Michigan economic debate. He spoke about the need to ensure that the debt is controlled and to ensure that too big to fail ends.
CRAMER: Governor...
(APPLAUSE)
(inaudible) Italy's too big to fail. It's great. I'd love it if we were independent. It would be terrific to say, "It's your fault. It's your fault. It's your problem." But if this goes, the world banking system could shut down.
Doesn't that involve our banks, too?
HUNTSMAN: So we wake up this morning, and we find that the yield curve with respect to Italy is up, and prices are down. So if you want a window into what this country is going to look like in the future if we don't get on top of our debt, you are seeing it playing out in Europe right now.
You are seeing the metastasy (ph) effect of the banking sector. And what does it mean here? What am I most concerned about, Jim? I'm concerned that it impacts us in way that moves into our banking sector where we have got a huge problem called "too big to fail" in this country.
We have six banks in this country that combined have assets worth 66 percent of our nation's GDP, $9.4 trillion. These institutions get hit. They have an implied bailout by the taxpayers in this country, and that means that we are setting ourselves up for disaster again.
Jim, as long as we have banks that are "too big to fail" in this country, we are going to catch the contagion and it's going to hurt us. We have got to get back to a day and age where we have properly sized banks and financial institutions.
