Obama talks about his rescue package

Azerbaijan News.Net
Wednesday 7th January, 2009

President-elect Barack Obama has underscored the urgency of finalizing economic legislation with reporters in Washington.

He said: "We have got an extraordinary economic challenge ahead of us. We are expecting a sobering jobs report at the end of the week.”

Mr Obama said he had told legislators he would like to see a tag of approximately $775 billion for the US economic stimulus plan, even though economists had suggested to him that the cost might be as large as $1.3 trillion.

He said he had consulted with 20 economists who said they believed the package should be from $800 billion to $1.3 trillion.

Mr Obama’s plan would attempt to boost consumer demand by providing tax breaks worth $500 for individuals and $1,000 for couples.

The change would come by altering tax-withholding rules so workers would see an immediate increase in their take-home pay.

The package would also fulfill Obama's promise to boost jobs with spending on improvements to roads, bridges and power grids, as well as aid to states hit by budget shortfalls.

Senate Republicans have privately said they are likely to be more enthusiastic about the package due to the likelihood of tax cuts.

Mr Obama has told legislators he would like them to complete work on the plan, including tax cuts and spending, by the end of January or no later than the first week of February.

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