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US President Concerned About Economy, But Confident of Recovery
US President George Bush said Monday that he was concerned about the US economy, but insisted that the economy will recover.
"On this Labor Day, I've got to tell you, I'm concerned about working families. I'm concerned about our economy. It's not as strong as it should be," Bush told several hundred unionized carpenters in Kaukauna, Wisconsin.
"We've got some problems on the horizon. One of my jobs is not to shrink from the problems but to deal with them," Bush said.
The U.S. economy began a sharp slowdown since the second half of last year and grew by only 0.2 percent in the second quarter of this year, the slowest pace in 8 years.
But Bush said he still believes that the economy will recover.
"Even though people are hurting today, and I know they are, I'm confident with the basic underpinnings of the economy. I'm confident we can recover," he said.
Bush said his 10-year, 1.3-trillion-U.S.-dollar tax cut, including rebates being mailed out now, will revive the economy.
In an effort to stave off recession, the Federal Reserve has slashed interest rates seven times this year, totaling 3 percentage points, driving down the borrowing costs to the lowest level in more than seven years.
The Bush administration and economists are still hoping that the Fed's monetary easing, the government's tax cuts and the declining energy prices will stimulate economic growth and lead to an economic turnaround late this year.
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