mr. mulvaney. >> if the staff could bring up the first slide. mr. zients iwas going to ask you about this originally. the president's promise he made during the -- >> my eyes are not good paper . >> you can, actually. it's simply a pledge he made when he ran for office and said today i'm pledging to cut the deficit by half during the first term. in response to a "washington post" criticism of this promise yesterday, i understand the administration's official position is now they had to break that promise because things were just -- turned out to be much worse than they thought they were. then i was going to ask you about this next promise regarding about not raising taxes on any families making less than $250,000 a year. but i think you've been asked about a couple of those already. mr. garrett asked you about the individual mandate excise tax for failing to purchase government qualifying health care. i young said that was not a tax. and then i believe mr. chaffetz asked you about the medical devices tax and the indoor tanning service -- >> can i ma

mr. mulvaney: tell us. what does it mean, when you say we want a fair tax code, what do you mean when you want people to pay their fair share. give us a real proposal and give us a real proposal that solves the problem. raising taxes on the top 1% won't accomplish what they say it will. it pays only eight cents of every dollar of deficit. let us know what fairness is, but i can assure you it is not this amendment. for that reason, i think we should defeat it. the chair: the gentleman yields back. the question is on the amendment offered by the gentlewoman from ohio. those in favor say aye. those opposed, no. in the opinion of the chair, the noes have it. the amendment is not agreed. ms. fudge: i ask for a recorded vote. the chair: a recorded vote having been requested, pursuant to clause 6 of rule 18, further proceedings on the amendment offered by the gentlewoman from ohio will be postponed. it is now in order to consider amendment number five printed in part b of house report 112-383 -- 383. for what purp

mr. mulvaney. >> thank you, mr. chairman. dr. drill down on something you've talked about in general here today which is europe and i want to go this into detail on the central bank liquidity swaps. since you've been here last time, i think it's grown from the agreements with various central banks from roughly 2.8 billion to about $103 billion as of last week. and my first question is where does that money come from, is that money you have in existing reserves, is that new money? >> it becomes both a liability and asset on the federal reserve's balance sheet. it's in some sense paid for by greater excess reserves in the banking system and on the other side with very an asset which is money given to -- in exchange to the european central bank. >> but to the extent it's greater excess reserves, that would be in layman's terms new money. it's not money that you took out of a maturing treasury and moved over to a swap agreement. >> we choez se to do it that wa because monetary policy currently has rates very close to zero. but it wou

mr. with mulvaney for three minutes. >> i won't need that much time. to fall on a question, the to wonder the 76,000 government jobs that were lost in 2011, approximately what percentage of the overall government work force does that number present? >> we will have to dig that out. >> i thought i had seen a number of roughly 22 million governor -- government jobs as of last month. >> is the state, local and federal? >> yes, sir. i believe it to be. >> that would be decline of -- or 1.2% of the level in january, 2011. >> so, so for all of 2011, the size of the government work force, federal, state and local, shrank by 1.2%? >> i believe that's correct. mr. galvin said earlier in his testimony that we are still 5.6 million jobs short in the overall economy from the beginning of the recession. what percentage does that represent of the overall work force? >> it's about 4% of the current work force. i don't really have what it was in the decline from the start. >> would be a little bit higher with about the same. >> thank you, gentlemen, that's all i have.

mr. van hollen just mentioned but the monetary issues are before him, specifically how does he keep growth going and keep inflation under control. >> actually, soledad, in the past ben bernanke has essentially debunked what congressman mulvaneythe actions taken by the federal reserve and the actions taken by the recovery bill helped prevent a second great depression, helped stop the free fall. we are now climbing out of that. historically it's always tougher to climb out of a recession that's precipitated about you a financial meltdown, and we know that. the good news is that for the last 22 months we've seen 3 million private sector jobs grow. are we satisfied with the pace? of course not, but one of the lessons i think ben bernanke is going to talk about is that it would be a mistake to too quickly take any action that would send the economy into a slowdown. if you cut too quickly in critical investments, you will have that unintended effect. so, yes, we need to come together right now on a long-term deficit reduction plan but, again, don't do anything in the short term that would jeopardize the fragile recovery. again, that's why the payroll tax cut's important. people need a little bit more money in their pockets right n