Picture courtesy Whitehouse.gov |
President Obama gave an important speech on Wednesday regarding economic inequality and mobility; the video of the speech is at the bottom of this post.
Text courtesy WhiteHouse.gov -
Thank you. (Applause.) Thank you, everybody. Thank you so much. Please, please have a seat. Thank you so much. Well, thank you, Neera, for the wonderful introduction and sharing a story that resonated with me. There were a lot of parallels in my life and probably resonated with some of you.
Over the past 10 years, the Center for American Progress has done
incredible work to shape the debate over expanding opportunity for all
Americans. And I could not be more grateful to CAP not only for giving
me a lot of good policy ideas, but also giving me a lot of staff.
(Laughter.) My friend, John Podesta, ran my transition; my Chief of
Staff, Denis McDonough, did a stint at CAP. So you guys are obviously
doing a good job training folks.
I also want to thank all the members of Congress and my administration
who are here today for the wonderful work that they do. I want to thank
Mayor Gray and everyone here at THEARC for having me. This center,
which I’ve been to quite a bit, have had a chance to see some of the
great work that’s done here. And all the nonprofits that call THEARC
home offer access to everything from education, to health care, to a
safe shelter from the streets, which means that you’re harnessing the
power of community to expand opportunity for folks here in D.C. And
your work reflects a tradition that runs through our history -- a belief
that we’re greater together than we are on our own. And that’s what
I’ve come here to talk about today.
Over the last two months, Washington has been dominated by some pretty
contentious debates -- I think that’s fair to say. And between a
reckless shutdown by congressional Republicans in an effort to repeal
the Affordable Care Act, and admittedly poor execution on my
administration’s part in implementing the latest stage of the new law,
nobody has acquitted themselves very well these past few months. So
it’s not surprising that the American people’s frustrations with
Washington are at an all-time high.
But we know that people’s frustrations run deeper than these most
recent political battles. Their frustration is rooted in their own
daily battles -- to make ends meet, to pay for college, buy a home, save
for retirement. It’s rooted in the nagging sense that no matter how
hard they work, the deck is stacked against them. And it’s rooted in
the fear that their kids won’t be better off than they were. They may
not follow the constant back-and-forth in Washington or all the policy
details, but they experience in a very personal way the relentless,
decades-long trend that I want to spend some time talking about today.
And that is a dangerous and growing inequality and lack of upward
mobility that has jeopardized middle-class America’s basic bargain --
that if you work hard, you have a chance to get ahead.
I believe this is the defining challenge of our time: Making sure our
economy works for every working American. It’s why I ran for President.
It was at the center of last year’s campaign. It drives everything I
do in this office. And I know I’ve raised this issue before, and some
will ask why I raise the issue again right now. I do it because the
outcomes of the debates we’re having right now -- whether it’s health
care, or the budget, or reforming our housing and financial systems --
all these things will have real, practical implications for every
American. And I am convinced that the decisions we make on these issues
over the next few years will determine whether or not our children will
grow up in an America where opportunity is real.
Now, the premise that we’re all created equal is the opening line in
the American story. And while we don’t promise equal outcomes, we have
strived to deliver equal opportunity -- the idea that success doesn’t
depend on being born into wealth or privilege, it depends on effort and
merit. And with every chapter we’ve added to that story, we’ve worked
hard to put those words into practice.
It was Abraham Lincoln, a self-described “poor man’s son,” who started a
system of land grant colleges all over this country so that any poor
man’s son could go learn something new.
When farms gave way to factories, a rich man’s son named Teddy
Roosevelt fought for an eight-hour workday, protections for workers, and
busted monopolies that kept prices high and wages low.
When millions lived in poverty, FDR fought for Social Security, and insurance for the unemployed, and a minimum wage.
When millions died without health insurance, LBJ fought for Medicare and Medicaid.
Together, we forged a New Deal, declared a War on Poverty in a great
society. We built a ladder of opportunity to climb, and stretched out a
safety net beneath so that if we fell, it wouldn’t be too far, and we
could bounce back. And as a result, America built the largest middle
class the world has ever known. And for the three decades after World
War II, it was the engine of our prosperity.
Now, we can’t look at the past through rose-colored glasses. The
economy didn’t always work for everyone. Racial discrimination locked
millions out of poverty -- or out of opportunity. Women were too often
confined to a handful of often poorly paid professions. And it was only
through painstaking struggle that more women, and minorities, and
Americans with disabilities began to win the right to more fairly and
fully participate in the economy.
Nevertheless, during the post-World War II years, the economic ground
felt stable and secure for most Americans, and the future looked
brighter than the past. And for some, that meant following in your old
man’s footsteps at the local plant, and you knew that a blue-collar job
would let you buy a home, and a car, maybe a vacation once in a while,
health care, a reliable pension. For others, it meant going to college
-- in some cases, maybe the first in your family to go to college. And
it meant graduating without taking on loads of debt, and being able to
count on advancement through a vibrant job market.
Now, it’s true that those at the top, even in those years, claimed a
much larger share of income than the rest: The top 10 percent
consistently took home about one-third of our national income. But that
kind of inequality took place in a dynamic market economy where
everyone’s wages and incomes were growing. And because of upward
mobility, the guy on the factory floor could picture his kid running the
company some day.
But starting in the late ‘70s, this social compact began to unravel.
Technology made it easier for companies to do more with less,
eliminating certain job occupations. A more competitive world lets
companies ship jobs anywhere. And as good manufacturing jobs automated
or headed offshore, workers lost their leverage, jobs paid less and
offered fewer benefits.
As values of community broke down, and competitive pressure increased,
businesses lobbied Washington to weaken unions and the value of the
minimum wage. As a trickle-down ideology became more prominent, taxes
were slashed for the wealthiest, while investments in things that make
us all richer, like schools and infrastructure, were allowed to wither.
And for a certain period of time, we could ignore this weakening
economic foundation, in part because more families were relying on two
earners as women entered the workforce. We took on more debt financed
by a juiced-up housing market. But when the music stopped, and the
crisis hit, millions of families were stripped of whatever cushion they
had left.
And the result is an economy that’s become profoundly unequal, and
families that are more insecure. I’ll just give you a few statistics.
Since 1979, when I graduated from high school, our productivity is up
by more than 90 percent, but the income of the typical family has
increased by less than eight percent. Since 1979, our economy has more
than doubled in size, but most of that growth has flowed to a fortunate
few.
The top 10 percent no longer takes in one-third of our income -- it now
takes half. Whereas in the past, the average CEO made about 20 to 30
times the income of the average worker, today’s CEO now makes 273 times
more. And meanwhile, a family in the top 1 percent has a net worth 288
times higher than the typical family, which is a record for this
country.
So the basic bargain at the heart of our economy has frayed. In fact,
this trend towards growing inequality is not unique to America’s market
economy. Across the developed world, inequality has increased. Some of
you may have seen just last week, the Pope himself spoke about this at
eloquent length. “How can it be,” he wrote, “that it is not a news item
when an elderly homeless person dies of exposure, but it is news when
the stock market loses two points?”
But this increasing inequality is most pronounced in our country, and
it challenges the very essence of who we are as a people. Understand
we’ve never begrudged success in America. We aspire to it. We admire
folks who start new businesses, create jobs, and invent the products
that enrich our lives. And we expect them to be rewarded handsomely for
it. In fact, we've often accepted more income inequality than many
other nations for one big reason -- because we were convinced that
America is a place where even if you’re born with nothing, with a little
hard work you can improve your own situation over time and build
something better to leave your kids. As Lincoln once said, “While we do
not propose any war upon capital, we do wish to allow the humblest man
an equal chance to get rich with everybody else.”
The problem is that alongside increased inequality, we’ve seen
diminished levels of upward mobility in recent years. A child born in
the top 20 percent has about a 2-in-3 chance of staying at or near the
top. A child born into the bottom 20 percent has a less than 1-in-20
shot at making it to the top. He’s 10 times likelier to stay where he
is. In fact, statistics show not only that our levels of income
inequality rank near countries like Jamaica and Argentina, but that it
is harder today for a child born here in America to improve her station
in life than it is for children in most of our wealthy allies --
countries like Canada or Germany or France. They have greater mobility
than we do, not less.
The idea that so many children are born into poverty in the wealthiest
nation on Earth is heartbreaking enough. But the idea that a child may
never be able to escape that poverty because she lacks a decent
education or health care, or a community that views her future as their
own, that should offend all of us and it should compel us to action. We
are a better country than this.
So let me repeat: The combined trends of increased inequality and
decreasing mobility pose a fundamental threat to the American Dream, our
way of life, and what we stand for around the globe. And it is not
simply a moral claim that I’m making here. There are practical
consequences to rising inequality and reduced mobility.
For one thing, these trends are bad for our economy. One study finds
that growth is more fragile and recessions are more frequent in
countries with greater inequality. And that makes sense. When families
have less to spend, that means businesses have fewer customers, and
households rack up greater mortgage and credit card debt; meanwhile,
concentrated wealth at the top is less likely to result in the kind of
broadly based consumer spending that drives our economy, and together
with lax regulation, may contribute to risky speculative bubbles.
And rising inequality and declining mobility are also bad for our
families and social cohesion -- not just because we tend to trust our
institutions less, but studies show we actually tend to trust each other
less when there’s greater inequality. And greater inequality is
associated with less mobility between generations. That means it’s not
just temporary; the effects last. It creates a vicious cycle. For
example, by the time she turns three years old, a child born into a
low-income home hears 30 million fewer words than a child from a
well-off family, which means by the time she starts school she’s already
behind, and that deficit can compound itself over time.
And finally, rising inequality and declining mobility are bad for our
democracy. Ordinary folks can’t write massive campaign checks or hire
high-priced lobbyists and lawyers to secure policies that tilt the
playing field in their favor at everyone else’s expense. And so people
get the bad taste that the system is rigged, and that increases cynicism
and polarization, and it decreases the political participation that is a
requisite part of our system of self-government.
So this is an issue that we have to tackle head on. And if, in fact,
the majority of Americans agree that our number-one priority is to
restore opportunity and broad-based growth for all Americans, the
question is why has Washington consistently failed to act? And I think a
big reason is the myths that have developed around the issue of
inequality.
First, there is the myth that this is a problem restricted to a small
share of predominantly minority poor -- that this isn’t a broad-based
problem, this is a black problem or a Hispanic problem or a Native
American problem. Now, it’s true that the painful legacy of
discrimination means that African Americans, Latinos, Native Americans
are far more likely to suffer from a lack of opportunity -- higher
unemployment, higher poverty rates. It’s also true that women still
make 77 cents on the dollar compared to men. So we’re going to need
strong application of antidiscrimination laws. We’re going to need
immigration reform that grows the economy and takes people out of the
shadows. We’re going to need targeted initiatives to close those gaps.
(Applause.)
But here’s an important point. The decades-long shifts in the economy
have hurt all groups: poor and middle class; inner city and rural
folks; men and women; and Americans of all races. And as a consequence,
some of the social patterns that contribute to declining mobility that
were once attributed to the urban poor -- that’s a particular problem
for the inner city: single-parent households or drug abuse -- it turns
out now we’re seeing that pop up everywhere.
A new study shows that disparities in education, mental health,
obesity, absent fathers, isolation from church, isolation from community
groups -- these gaps are now as much about growing up rich or poor as
they are about anything else. The gap in test scores between poor kids
and wealthy kids is now nearly twice what it is between white kids and
black kids. Kids with working-class parents are 10 times likelier than
kids with middle- or upper-class parents to go through a time when their
parents have no income. So the fact is this: The opportunity gap in
America is now as much about class as it is about race, and that gap is
growing.
So if we’re going to take on growing inequality and try to improve
upward mobility for all people, we’ve got to move beyond the false
notion that this is an issue exclusively of minority concern. And we
have to reject a politics that suggests any effort to address it in a
meaningful way somehow pits the interests of a deserving middle class
against those of an undeserving poor in search of handouts. (Applause.)
Second, we need to dispel the myth that the goals of growing the
economy and reducing inequality are necessarily in conflict, when they
should actually work in concert. We know from our history that our
economy grows best from the middle out, when growth is more widely
shared. And we know that beyond a certain level of inequality, growth
actually slows altogether.
Third, we need to set aside the belief that government cannot do
anything about reducing inequality. It’s true that government cannot
prevent all the downsides of the technological change and global
competition that are out there right now, and some of those forces are
also some of the things that are helping us grow. And it’s also true
that some programs in the past, like welfare before it was reformed,
were sometimes poorly designed, created disincentives to work.
But we’ve also seen how government action time and again can make an
enormous difference in increasing opportunity and bolstering ladders
into the middle class. Investments in education, laws establishing
collective bargaining, and a minimum wage -- these all contributed to
rising standards of living for massive numbers of Americans.
(Applause.) Likewise, when previous generations declared that every
citizen of this country deserved a basic measure of security -- a floor
through which they could not fall -- we helped millions of Americans
live in dignity, and gave millions more the confidence to aspire to
something better, by taking a risk on a great idea.
Without Social Security, nearly half of seniors would be living in
poverty -- half. Today, fewer than 1 in 10 do. Before Medicare, only
half of all seniors had some form of health insurance. Today, virtually
all do. And because we’ve strengthened that safety net, and expanded
pro-work and pro-family tax credits like the Earned Income Tax Credit, a
recent study found that the poverty rate has fallen by 40 percent since
the 1960s. And these endeavors didn’t just make us a better country;
they reaffirmed that we are a great country.
So we can make a difference on this. In fact, that’s our generation’s
task -- to rebuild America’s economic and civic foundation to continue
the expansion of opportunity for this generation and the next
generation. (Applause.) And like Neera, I take this personally. I’m
only here because this country educated my grandfather on the GI Bill.
When my father left and my mom hit hard times trying to raise my sister
and me while she was going to school, this country helped make sure we
didn’t go hungry. When Michelle, the daughter of a shift worker at a
water plant and a secretary, wanted to go to college, just like me, this
country helped us afford it until we could pay it back.
So what drives me as a grandson, a son, a father -- as an American --
is to make sure that every striving, hardworking, optimistic kid in
America has the same incredible chance that this country gave me.
(Applause.) It has been the driving force between everything we’ve
done these past five years. And over the course of the next year, and
for the rest of my presidency, that’s where you should expect my
administration to focus all our efforts. (Applause.)
Now, you'll be pleased to know this is not a State of the Union
Address. (Laughter.) And many of the ideas that can make the biggest
difference in expanding opportunity I’ve presented before. But let me
offer a few key principles, just a roadmap that I believe should guide
us in both our legislative agenda and our administrative efforts.
To begin with, we have to continue to relentlessly push a growth
agenda. It may be true that in today’s economy, growth alone does not
guarantee higher wages and incomes. We've seen that. But what's also
true is we can’t tackle inequality if the economic pie is shrinking or
stagnant. The fact is if you’re a progressive and you want to help the
middle class and the working poor, you’ve still got to be concerned
about competitiveness and productivity and business confidence that
spurs private sector investment.
And that’s why from day one we’ve worked to get the economy growing and
help our businesses hire. And thanks to their resilience and
innovation, they’ve created nearly 8 million new jobs over the past 44
months. And now we’ve got to grow the economy even faster. And we've
got to keep working to make America a magnet for good, middle-class jobs
to replace the ones that we’ve lost in recent decades -- jobs in
manufacturing and energy and infrastructure and technology.
And that means simplifying our corporate tax code in a way that closes
wasteful loopholes and ends incentives to ship jobs overseas.
(Applause.) And by broadening the base, we can actually lower rates to
encourage more companies to hire here and use some of the money we save
to create good jobs rebuilding our roads and our bridges and our
airports, and all the infrastructure our businesses need.
It means a trade agenda that grows exports and works for the middle
class. It means streamlining regulations that are outdated or
unnecessary or too costly. And it means coming together around a
responsible budget -- one that grows our economy faster right now and
shrinks our long-term deficits, one that unwinds the harmful sequester
cuts that haven't made a lot of sense -- (applause) -- and then frees up
resources to invest in things like the scientific research that's
always unleashed new innovation and new industries.
When it comes to our budget, we should not be stuck in a stale debate
from two years ago or three years ago. A relentlessly growing deficit
of opportunity is a bigger threat to our future than our rapidly
shrinking fiscal deficit. (Applause.)
So that’s step one towards restoring mobility: making sure our economy
is growing faster. Step two is making sure we empower more Americans
with the skills and education they need to compete in a highly
competitive global economy.
We know that education is the most important predictor of income today,
so we launched a Race to the Top in our schools. We’re supporting
states that have raised standards for teaching and learning. We’re
pushing for redesigned high schools that graduate more kids with the
technical training and apprenticeships, and in-demand, high-tech skills
that can lead directly to a good job and a middle-class life.
We know it’s harder to find a job today without some higher education,
so we’ve helped more students go to college with grants and loans that
go farther than before. We’ve made it more practical to repay those
loans. And today, more students are graduating from college than ever
before. We’re also pursuing an aggressive strategy to promote
innovation that reins in tuition costs. We’ve got lower costs so that
young people are not burdened by enormous debt when they make the right
decision to get higher education. And next week, Michelle and I will
bring together college presidents and non-profits to lead a campaign to
help more low-income students attend and succeed in college.
(Applause.)
But while higher education may be the surest path to the middle class,
it’s not the only one. So we should offer our people the best technical
education in the world. That’s why we’ve worked to connect local
businesses with community colleges, so that workers young and old can
earn the new skills that earn them more money.
And I’ve also embraced an idea that I know all of you at the Center for
American Progress have championed -- and, by the way, Republican
governors in a couple of states have championed -- and that’s making
high-quality preschool available to every child in America. (Applause.)
We know that kids in these programs grow up likelier to get more
education, earn higher wages, form more stable families of their own.
It starts a virtuous cycle, not a vicious one. And we should invest in
that. We should give all of our children that chance.
And as we empower our young people for future success, the third part
of this middle-class economics is empowering our workers. It’s time to
ensure our collective bargaining laws function as they’re supposed to --
(applause) -- so unions have a level playing field to organize for a
better deal for workers and better wages for the middle class. It’s
time to pass the Paycheck Fairness Act so that women will have more
tools to fight pay discrimination. (Applause.) It’s time to pass the
Employment Non-Discrimination Act so workers can’t be fired for who they
are or who they love. (Applause.)
And even though we’re bringing manufacturing jobs back to America,
we’re creating more good-paying jobs in education and health care and
business services; we know that we’re going to have a greater and
greater portion of our people in the service sector. And we know that
there are airport workers, and fast-food workers, and nurse assistants,
and retail salespeople who work their tails off and are still living at
or barely above poverty. (Applause.) And that’s why it’s well past the
time to raise a minimum wage that in real terms right now is below
where it was when Harry Truman was in office. (Applause.)
This shouldn’t be an ideological question. It was Adam Smith, the
father of free-market economics, who once said, “They who feed, clothe,
and lodge the whole body of the people should have such a share of the
produce of their own labor as to be themselves tolerably well fed,
clothed, and lodged.” And for those of you who don’t speak old-English
-- (laughter) -- let me translate. It means if you work hard, you
should make a decent living. (Applause.) If you work hard, you should
be able to support a family.
Now, we all know the arguments that have been used against a higher
minimum wage. Some say it actually hurts low-wage workers -- businesses
will be less likely to hire them. But there’s no solid evidence that a
higher minimum wage costs jobs, and research shows it raises incomes
for low-wage workers and boosts short-term economic growth. (Applause.)
Others argue that if we raise the minimum wage, companies will just
pass those costs on to consumers. But a growing chorus of businesses,
small and large, argue differently. And already, there are
extraordinary companies in America that provide decent wages, salaries,
and benefits, and training for their workers, and deliver a great
product to consumers.
SAS in North Carolina offers childcare and sick leave. REI, a company
my Secretary of the Interior used to run, offers retirement plans and
strives to cultivate a good work balance. There are companies out there
that do right by their workers. They recognize that paying a decent
wage actually helps their bottom line, reduces turnover. It means
workers have more money to spend, to save, maybe eventually start a
business of their own.
A broad majority of Americans agree we should raise the minimum wage.
That’s why, last month, voters in New Jersey decided to become the 20th
state to raise theirs even higher. That’s why, yesterday, the D.C.
Council voted to do it, too. I agree with those voters. (Applause.) I
agree with those voters, and I’m going to keep pushing until we get a
higher minimum wage for hard-working Americans across the entire
country. It will be good for our economy. It will be good for our
families. (Applause.)
Number four, as I alluded to earlier, we still need targeted programs
for the communities and workers that have been hit hardest by economic
change and the Great Recession. These communities are no longer limited
to the inner city. They’re found in neighborhoods hammered by the
housing crisis, manufacturing towns hit hard by years of plants packing
up, landlocked rural areas where young folks oftentimes feel like
they've got to leave just to find a job. There are communities that
just aren’t generating enough jobs anymore.
So we’ve put forward new plans to help these communities and their
residents, because we’ve watched cities like Pittsburgh or my hometown
of Chicago revamp themselves. And if we give more cities the tools to
do it -- not handouts, but a hand up -- cities like Detroit can do it,
too. So in a few weeks, we’ll announce the first of these Promise
Zones, urban and rural communities where we’re going to support local
efforts focused on a national goal -- and that is a child’s course in
life should not be determined by the zip code he’s born in, but by the
strength of his work ethic and the scope of his dreams. (Applause.)
And we're also going to have to do more for the long-term unemployed.
For people who have been out of work for more than six months, often
through no fault of their own, life is a catch-22. Companies won’t give
their résumé an honest look because they’ve been laid off so long --
but they’ve been laid off so long because companies won’t give their
résumé an honest look. (Laughter.) And that’s why earlier this year, I
challenged CEOs from some of America’s best companies to give these
Americans a fair shot. And next month, many of them will join us at the
White House for an announcement about this.
Fifth, we've got to revamp retirement to protect Americans in their
golden years, to make sure another housing collapse doesn’t steal the
savings in their homes. We've also got to strengthen our safety net for
a new age, so it doesn’t just protect people who hit a run of bad luck
from falling into poverty, but also propels them back out of poverty.
Today, nearly half of full-time workers and 80 percent of part-time
workers don’t have a pension or retirement account at their job. About
half of all households don’t have any retirement savings. So we’re
going to have to do more to encourage private savings and shore up the
promise of Social Security for future generations. And remember, these
are promises we make to one another. We don’t do it to replace the free
market, but we do it to reduce risk in our society by giving people the
ability to take a chance and catch them if they fall. One study shows
that more than half of Americans will experience poverty at some point
during their adult lives. Think about that. This is not an isolated
situation. More than half of Americans at some point in their lives
will experience poverty.
That’s why we have nutrition assistance or the program known as SNAP,
because it makes a difference for a mother who’s working, but is just
having a hard time putting food on the table for her kids. That’s why
we have unemployment insurance, because it makes a difference for a
father who lost his job and is out there looking for a new one that he
can keep a roof over his kids' heads. By the way, Christmastime is no
time for Congress to tell more than 1 million of these Americans that
they have lost their unemployment insurance, which is what will happen
if Congress does not act before they leave on their holiday vacation.
(Applause.)
The point is these programs are not typically hammocks for people to
just lie back and relax. These programs are almost always temporary
means for hardworking people to stay afloat while they try to find a new
job or go into school to retrain themselves for the jobs that are out
there, or sometimes just to cope with a bout of bad luck. Progressives
should be open to reforms that actually strengthen these programs and
make them more responsive to a 21st century economy. For example, we
should be willing to look at fresh ideas to revamp unemployment and
disability programs to encourage faster and higher rates of
re-employment without cutting benefits. We shouldn't weaken fundamental
protections built over generations, because given the constant churn in
today’s economy and the disabilities that many of our friends and
neighbors live with, they're needed more than ever. We should
strengthen them and adapt them to new circumstances so they work even
better.
But understand that these programs of social insurance benefit all of
us, because we don't know when we might have a run of bad luck.
(Applause.) We don't know when we might lose a job. Of course, for
decades, there was one yawning gap in the safety net that did more than
anything else to expose working families to the insecurities of today’s
economy -- namely, our broken health care system.
That’s why we fought for the Affordable Care Act -- (applause) --
because 14,000 Americans lost their health insurance every single day,
and even more died each year because they didn’t have health insurance
at all. We did it because millions of families who thought they had
coverage were driven into bankruptcy by out-of-pocket costs that they
didn't realize would be there. Tens of millions of our fellow citizens
couldn’t get any coverage at all. And Dr. King once said, "Of all the
forms of inequality, injustice in health care is the most shocking and
inhumane.”
Well, not anymore. (Applause.) Because in the three years since we
passed this law, the share of Americans with insurance is up, the growth
of health care costs are down to their slowest rate in 50 years. More
people have insurance, and more have new benefits and protections -- 100
million Americans who have gained the right for free preventive care
like mammograms and contraception; the more than 7 million Americans who
have saved an average of $1,200 on their prescription medicine; every
American who won’t go broke when they get sick because their insurance
can’t limit their care anymore.
More people without insurance have gained insurance -- more than 3
million young Americans who have been able to stay on their parents’
plan, the more than half a million Americans and counting who are poised
to get covered starting on January 1st, some for the very first time.
And it is these numbers -- not the ones in any poll -- that will
ultimately determine the fate of this law. (Applause.) It's the
measurable outcomes in reduced bankruptcies and reduced hours that have
been lost because somebody couldn't make it to work, and healthier kids
with better performance in schools, and young entrepreneurs who have the
freedom to go out there and try a new idea -- those are the things that
will ultimately reduce a major source of inequality and help ensure
more Americans get the start that they need to succeed in the future.
I have acknowledged more than once that we didn’t roll out parts of
this law as well as we should have. But the law is already working in
major ways that benefit millions of Americans right now, even as we’ve
begun to slow the rise in health care costs, which is good for family
budgets, good for federal and state budgets, and good for the budgets of
businesses small and large. So this law is going to work. And for the
sake of our economic security, it needs to work. (Applause.)
And as people in states as different as California and Kentucky sign up
every single day for health insurance, signing up in droves, they’re
proving they want that economic security. If the Senate Republican
leader still thinks he is going to be able to repeal this someday, he
might want to check with the more than 60,000 people in his home state
who are already set to finally have coverage that frees them from the
fear of financial ruin, and lets them afford to take their kids to see a
doctor. (Applause.)
So let me end by addressing the elephant in the room here, which is the
seeming inability to get anything done in Washington these days. I
realize we are not going to resolve all of our political debates over
the best ways to reduce inequality and increase upward mobility this
year, or next year, or in the next five years. But it is important that
we have a serious debate about these issues. For the longer that
current trends are allowed to continue, the more it will feed the
cynicism and fear that many Americans are feeling right now -- that
they’ll never be able to repay the debt they took on to go to college,
they’ll never be able to save enough to retire, they’ll never see their
own children land a good job that supports a family.
And that’s why, even as I will keep on offering my own ideas for
expanding opportunity, I’ll also keep challenging and welcoming those
who oppose my ideas to offer their own. If Republicans have concrete
plans that will actually reduce inequality, build the middle class,
provide more ladders of opportunity to the poor, let’s hear them. I
want to know what they are. If you don’t think we should raise the
minimum wage, let’s hear your idea to increase people’s earnings. If
you don’t think every child should have access to preschool, tell us
what you’d do differently to give them a better shot.
If you still don’t like Obamacare -- and I know you don’t -- (laughter)
-- even though it’s built on market-based ideas of choice and
competition in the private sector, then you should explain how, exactly,
you’d cut costs, and cover more people, and make insurance more secure.
You owe it to the American people to tell us what you are for, not
just what you’re against. (Applause.) That way we can have a vigorous
and meaningful debate. That’s what the American people deserve. That’s
what the times demand. It’s not enough anymore to just say we should
just get our government out of the way and let the unfettered market
take care of it -- for our experience tells us that’s just not true.
(Applause.)
Look, I’ve never believed that government can solve every problem or
should -- and neither do you. We know that ultimately our strength is
grounded in our people -- individuals out there, striving, working,
making things happen. It depends on community, a rich and generous
sense of community -- that’s at the core of what happens at THEARC here
every day. You understand that turning back rising inequality and
expanding opportunity requires parents taking responsibility for their
kids, kids taking responsibility to work hard. It requires religious
leaders who mobilize their congregations to rebuild neighborhoods block
by block, requires civic organizations that can help train the
unemployed, link them with businesses for the jobs of the future. It
requires companies and CEOs to set an example by providing decent wages,
and salaries, and benefits for their workers, and a shot for somebody
who is down on his or her luck. We know that’s our strength -- our
people, our communities, our businesses.
But government can’t stand on the sidelines in our efforts. Because
government is us. It can and should reflect our deepest values and
commitments. And if we refocus our energies on building an economy that
grows for everybody, and gives every child in this country a fair
chance at success, then I remain confident that the future still looks
brighter than the past, and that the best days for this country we love
are still ahead. (Applause.)
For those readers who aren't fans of reading, the video of the speech -