Sen. Shelby: "Government Can Not Create Jobs"

Alabama's senior senator says the national deficit is the biggest challenge facing America.

"It effects every man, woman and child in Mobile," said Sen. Richard Shelby, speaking to a crowd of business leaders. "I don't believe we can borrow our way to prosperity. I don't believe we should saddle not only ourselves but our children and grandchildren with such a debt."

Shelby made the remarks at a Chamber of Commerce breakfast the same day President Barack Obama unveiled a $3.8 trillion budget. The budget, which reportedly includes a $100 billion jobs package, is expected to add $8.3 trillion to the national debt, according to the Washington Post.

"The government can not create jobs. If they do create jobs with a stimulus here and a stimulus there they are short lived," said Shelby who insits lawmakers should focus on creating conditions for the free market to work. "Good tax conditions, good banking system, a good regulatory system that doesn't over regulate the economy," said Shelby.

Shelby, the leading Republican on the Senate Banking Committee, also spoke about terrorism, saying America got "lucky" on Christmas day when the so-called underwear bomber failed. "I believe the Mobile homicide squad here could have put that information together if they had four pieces of information and probably found out who was coming to this country," said Shelby.

Sen. Shelby also reiterated his support for the Northrop Grumman-EADS tanker team. Shelby called the battle over the Air Force tanker contract a sham. "I'm very dubious of the present process being fair," said Shelby, who told the crowd the White House administration is bias. "You got to remember where Obama is from and where Rahm Emanuel is from, Chicago, and that's Boeing. They're going to do everything they can to tilt this process to Boeing."

Shelby's visit to Mobile is part of his annual effort to visit every county in the state. Shelby is headed back to Washington D.C. today.