Page images
PDF
EPUB

PROPOSED CONSTITUTIONAL AMENDMENT

TO BALANCE THE FEDERAL BUDGET

HEARINGS

BEFORE THE

SUBCOMMITTEE ON THE CONSTITUTION

OF THE

COMMITTEE ON THE JUDICIARY

UNITED STATES SENATE

NINETY-SIXTH CONGRESS

FIRST SESSION

ON

S.J. Res. 2, 4, 5, 6, 7, 9, 10, 11, 13, 16, 18, 36, 38, 45, 46, 56, 76, 79, 86, and 93

MARCH 12, MAY 23, JULY 25, OCTOBER 4, 11, AND

NOVEMBER 1, 1979

Serial No. 96-41

!

Printed for the use of the Committee on the Judiciary

U.S. GOVERNMENT PRINTING OFFICE

WASHINGTON : 1980

54-287

COMMITTEE ON THE JUDICIARY

196th Congress)

EDWARD M. KENNEDY, Massachusetts, Chairman BIRCH BAYH, Indiana

STROM THURMOND, South Carolina ROBERT C. BYRD, West Virginia

CHARLES McC. MATHIAS, JR., Maryland JOSEPH R. BIDEN, JR., Delaware

PAUL LAXALT, Nevada JOHN C. CULVER, Iowa

ORRIN G. HATCH, Utah HOWARD M. METZENBAUM, Ohio

ROBERT DOLE, Kansas DENNIS DECONCINI, Arizona

THAD COCHRAN, Mississippi
PATRICK J. LEAHY, Vermont

ALAN K. SIMPSON, Wyoming
MAX BAUCUS, Montana
HOWELL HEFLIN, Alabama

DAVID BOIES, Chief Counsel and Staff Director
STEPHEN BREYER, Chief Counsel and Staff Director 1

SUBCOMMITTEE ON THE CONSTITUTION

BIRCH BAYH, Indiana, Chairman HOWARD M. METZENBAUM, Ohio

ORRIN G. HATCH, Utah DENNIS DECONCINI, Arizona

STROM THURMOND, South Carolina
HOWELL HEFLIN, Alabama

ALAN K. SIMPSON, Wyoming
NELS ACKERSON, Chief Counsel and Executive Director

KEVIN O. FALEY, General Counsel ?

MARY K. JOLLY, Staff Director and Counsel
LINDA ROGERS-KINGSBURY, Chief Clerk and Deputy Staff Director

1 Upon the resignation of Mr. Boies, Mr. Breyer was appointed chief counsel and staff director, Sept. 1, 1979.

Upon the resignation of Mr. Ackerson, Mr. Faley was appointed chief counsel and executive director, July 1, 1979.

(II)

CONTENTS

OPENING STATEMENTS

Bayh, Hon. Birch, a U.S. Senator from the State of Indiana, chairman, Page

Subcommittee on the Constitution.--

1, 111, 161

Dole, Hon. Robert, a U.S. Senator from the State of Kansas.

114

Hatch, Hon. Orrin G., a U.S. Senator from the State of Utah.

3

Heflin, Hon. Howell, a U.S. Senator from the State of Alabama-

117

Simpson, Hon. Alan K., a U.S. Senator from the State of Wyoming-

114

Thurmond, Hon. Strom, a U.S. Senator from the State of South Carolina. 113

PROPOSED LEGISLATION
Senate joint resolutions to balance the Federal budget, referred to the
Subcommittee on the Constitution, in the 96th Congress...

459, 531
CHRONOLOGICAL LIST OF WITNESSES

MONDAY, MARCH 12, 1979
Stennis, Hon. John C., a U.S. Senator from the State of Mississippi.---

8
Byrd, Hon. Harry F., Jr., a U.S. Senator from the State of Virginia -

18
Muskie, Hon. Edmund s., a U.S. Senator from the State of Maine.

30
Thurmond, Hon. Strom, a U.S. Senator from the State of South Carolina. 90
Dole, Hon. Robert, a U.S. Senator from the State of Kansas..

100
WEDNESDAY, MAY 23, 1979

McClure, Hon. James A., a U.S. Senator from the State of Idaho.--- 118

Blumenthal, Hon. Michael W., Secretary of the U.S. Treasury --

126

DeConcini, Hon. Dennis, a U.S. Senator from the State of Arizona

150

Levin, Hon. Carl, a U.S. Senator from the State of Michigan...

154

WEDNESDAY, JULY 25, 1979

Stone, Hon. Richard, a U.S. Senator from Florida.-

163

Heinz, Hon. John H., III, a U.S. Senator from Pennsylvania..

165

Lugar, Hon. Richard G., a U.S. Senator from Indiana..

170

Wallop, Hon. Malcolm, a U.S. Senator from Wyoming-

175

THURSDAY, OCTOBER 4, 1979

Kirkland, Lane, secretary-treasurer, AFL-CIO, Washington, D.C., accom-

panied by Mr. Rudy Oswald, chief economist and Kenneth Young,

legislative director.

188

O'Neill, Thomas P., III, chairman, Citizens for the Constitution, Wash-

ington, D.C...

206

Davidson, Jim, chairman, National Taxpayers Union, Washington, D.C.;

accompanied by Robert Martin, economist

213

Beil
, Marshall

, attorney, Association of the Bar of the City of New York:

Committee on Federal Legislation.--

230

THURSDAY, OCTOBER 11, 1979

Pryor, Hon. David, a U.S. Senator from the State of Arkansas.

253

Rivlin, Alice, Director, Congressional Budget Office.

258

Gerber, Martin, vice president, International Union UAW

284

Grant, Allan, president, American Farm Bureau Federation

292

VanAndel, Jay, chairman of the board, Chamber of Commerce of the

United States of America.

299

Pago
313
318

327

THURSDAY, NOVEMBER 1, 1979
Jepsen, Hon. Roger W., a U.S. Senator from the State of Iowa..
Greenspan, Alan, Townsend-Greenspan, New York, N.Y.
Saunders, Philip, professor of economics, Indiana University Bloomington,

Ind..

Everett, Richard W., vice president, Chase Manhattan Bank, New York,

N.Y.

Carlson, Merlyn, first vice president National Cattlemen's Association,

accompanied by Don Magdanz, staff officer.
Uhler, Lewis, K., president, National Tax Limitation Committee, Wash-

ington, D.Ć...
Stubblebine, W. Craig, director, Center for the Study of Law Structures,

Claremont Men's College, Claremont, Calif..

337

343

353

354

ALPHABETICAL LISTING AND MATERIALS SUBMITTED
American Farm Bureau Federation: Prepared statement-

297

Americans for Democratic Action: Prepared statement.-

307

Beck, Morris:
"Public Sector Growth: A Real Perspective”.

426
"Public Expenditures Slowing Down, Rutgers Expert Reports"

452

"Estimating Changes in Real Size of the Public Sector”.

453

Beil, Marshall:

Testimony--

230

Responses to additional questions posed by:

Senator Bayh

233

Senator Thurmond.

235

Prepared statement...

236

"Budget-Balancing by Constitutional Amendment”

239

Blumenthal, Hon. Michael W.:

Testimony.

126

Prepared statement.

148

Byrd, Hon. Harry F., Jr.:

Testimony -

18

Prepared statement-

23

Senate Joint Resolution 38.

492

Senate Joint Resolution 45.

494

Senate Joint Resolution 46-

496

Senate Joint Resolution 79-

507

"Requiring a Balanced Budget," from the Washington Post, March 6,

1979..

The National Debt in the Twentieth Century-

29

Carlson, Merlyn:

Testimony-

343

Prepared statement of the National Cattlemen's Association.

348

Cochran, Hon. Thad: Prepared statement-

186

Davidson, James D.:

Testimony -

213

Prepared statement

225

Letter to Senate Birch Bayh in regard to a list of areas where budge-
tary savings can be made.

228

DeConcini, Hon. Dennis:

Testimony--

150

Senate Joint Resolution 2.

459

Dole, Hon. Robert:

Testimony ---

100

Prepared statements -

105, 184

Questions and answers concerning Senate Joint Resolution 5..

107

Senate Joint Resolution 5..

465

Everett, Richard W.: Testimony --

337

Friedman, Milton: Prepared statement -

412

Gerber, Martin:
Testimony.

284

Responses to additional questions posed by Senate Thurmond. 287

Prepared statement.---

289

“U.S. Presidents on the Balanced Budget”.

291

[graphic]
[ocr errors]
[ocr errors]

3

5
510

165
168
499
313
188
154

170
173
463
414

307
310

213

118
474
476

Grant, Allan:

Testimony.--

Prepared statement.

Greenspan, Alan: Testimony ---

Hart, Hon. Gary: Prepared statement-

Hateh, Hon. Orrin G:

Opening statement

Congressional Record, June 7, 1979.

Senate Joint Resolution 86..

Heinz, Hon. John H., III:

Testimony

Prepared statement

Senate Joint Resolution 56.

Jepsen, Hon. Roger W.: Testimony.

Kirkland, Lane: Testimony-

Levin, Hon. Carl: Testimony

Lugar, Hon. Richard G.:

Testimony ---

Prepared statement-

Senate Joint Resolution 4.

MacLaury, Bruce K.: "Which Way to a Balanced Budget?”

Maisel, "Sandy", Louis K.:

Prepared statement on behalf of Americans for Democratic Action...

Responses to questions posed by Senator Bayh..

Martin, Robert A.:

Testimony-

McClure, Hon. James A.:

Testimony-

Senate Joint Resolution 9.

Senate Joint Resolution 10

Muskie, Hon. Edmund S.:

Testimony --

Remarks before the National Press Club, February 13, 1979.-
Remarks before the National Conference of State Legislators, March

1, 1979.-
"Constitutional Limitations on the Budget,” prepared by Congres-

sional Research Service, February 21, 1979-

"A ‘Balanced Budget' Constitutional Convention,” memorandum

from Larry Tribe, professor of law, Harvard University Law

School, to Tim Kraft, The White House, January 17, 1979. ----

"Budget-Balancing and Spending Limit Proposals,” statement by

Walter W. Heller, University of Minnesota, before the Senate

Budget Committee..

"A Balanced Federal Budget: Analysis of State Applications and

Senate Legislative Proposals,” memorandum from Jill Scheu and

Lew Shuster, March 1, 1979--

National Cattlemen's Association: Prepared statement-

Nunn, Hon. Sam: Prepared statement-

O'Neill

, Hon. Thomas P., III:

Testimony-----

Prepared statement..

Responses to additional questions posed by Senator Thurmond..

Pryor, Hon. David: Testimony -

Quayle, Hon. Dan: Prepared statement-

Rivlin, Alice:

Testimony -

Government deficits and inflation --

Percentage rate of growth of debt by nonfinancial sectors.--

Consumer prices—percentage changes from previous period, not

seasonally adjusted.--

CBO economic projections based on current policy and actual eco-

nomic performance, 1976-78.---

Responses to additional questions by Senator Thurmond.

Prepared statement -

Saunders, Phillip:

Testimony

Prepared statement..

[graphic]

327

331

« EelmineJätka »