[Public Papers of the Presidents of the United States: WILLIAM J. CLINTON (2000, Book II)]
[July 28, 2000]
[Pages 1489-1491]
[From the U.S. Government Publishing Office www.gpo.gov]



Remarks on the National Economy and an Exchange With Reporters
in Providence, Rhode Island
July 28, 2000

    The President. Let me say, first of all, I'm delighted to be back in 
Rhode Island with Senator Reed and 
Congressman Kennedy--and Senator 
Kennedy here showing good family support.
    I have some good news to report. Today we learned that our economy 
grew at a vigorous 5.2 percent during the last quarter. This is a credit 
to the hard work of the American people and further confirmation that we 
are on the right economic path, with stronger and steadier growth than 
at any time since the 1960's, with 22 million new jobs, and the lowest 
unemployment rate in over 30 years. Growth over the past 7\1/2\ years 
has now averaged 4 percent. That's the best growth rate America has had 
since the Kennedy-Johnson years. Unemployment here in Rhode Island has 
been cut in half since 1993 to 4 percent. The growth in the last quarter 
has been driven by extraordi-
nary levels of private sector investment and increased productivity on 
the part of the Ameri-
can people. This has been the trend now for 7 years, thanks to the 
strategy of fiscal

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discipline and investing in our people and our future we adopted back in 
1993.
    This good economic news is more proof that we should stay on the 
path of fiscal discipline and not endanger our prosperity by passing one 
expensive tax cut after another until, when totaled up, they would spend 
every single dime of our projected surplus for a decade.
    Already, the Republicans have passed tax cuts this year that would 
drain a trillion dollars from the projected surplus. Now, they're going 
to Philadelphia in support of tax cuts that would drain well over 
another trillion dollars, over and above what they've already passed 
from the surplus.
    Simple math says that one plus one equals two, and $2 trillion are 
too many reckless tax cuts. It's too big and too irresponsible for our 
economy. And I would remind the American people again: This is tax cuts 
that are permanent against surpluses that are just projected.
    I said yesterday, and I'll say again: If you've got one of those 
letters from Ed McMahon saying, you may have won $10 million, would you 
go out and spend $10 million the next day? Well, if you would, you 
should support their program. But if not, you ought to stick with what 
works.
    So when you're listening to what they say in Philadelphia, ask 
yourself and, more importantly, ask them: Can we really afford $2 
trillion in risky tax cuts? Can we afford not to leave a single penny to 
strengthen Medicare and Social Security against the day when the baby 
boomers retire? Can we really afford not to save a penny for a Medicare 
prescription drug benefit? Can we really afford to do nothing for 
education, for school construction, and should we give up trying to get 
America out of debt by 2012? Can we really afford to go back to the bad 
old days of debt and deficits and double-digit mortgage rates? There is 
a better way.
    I have proposed and, indeed, all our candidates and our leaders in 
Congress support affordable tax cuts, including carefully targeted 
marriage penalty relief, tax cuts for college tuition, for long-term 
care for the elderly and disabled, for child care, to help ordinary 
working people save for retirement; and tax cuts to spur investment in 
new school construction and in underdeveloped areas of America.
    The tax cuts we have proposed will give middle class families 
substantially more benefits than the Republican plan at less than 25 
percent of the cost of their total tax cuts. Under our plan, we'll still 
have the resources we need to provide a Medicare prescription drug 
benefit, to lengthen the life of Social Security and Medicare, to pay 
for the baby boomers retirement and to get this country out of debt by 
2012, so that we can keep our economy going.
    Our plan will keep interest rates at least one percent lower over 
the next decade than their plan. Let me tell you what that's worth to 
ordinary people. That's worth $250 billion in lower mortgage payments, 
$30 billion in lower car payments, $15 billion in lower college loan 
payments. That's a pretty good tax cut itself, over and above our direct 
proposal.
    The strong economic news today is just the latest indication that 
fiscal discipline has put America on the right track. And on my watch, 
we'll stay on track.
    The rest of the decision is up to the American people. But we will 
not squander this surplus as long as I am here. We will not. Instead, we 
should have the right kind of tax cuts to put our people and our 
children's future first.
    Thank you very much.

U.S. Embassy in Israel

    Q. Mr. President, are you going to move the Embassy to Jerusalem, or 
take any other steps to reward the Israelis and punish the Palestinians 
over Camp David?
    The President. First of all, I have nothing to add to what I said 
yesterday. I think we released the transcript of my interview with 
Israeli television. We are working aggressively to get these talks back 
on track. The two parties are meeting, as you know, and has been widely 
reported.
    I meant what I said yesterday, and I reaffirm it. I think what we 
should all do is to recognize that Prime Minister Barak took some far-reaching steps. The two parties discussed 
things they had never discussed before. They came closer together than 
they had ever come before. They still have a ways to go. And I think we 
need to support the friends of peace and this process in every way that 
we can. That's what I intend to do.
    Thank you.

Chelsea Clinton

    Q. Mr. President, any comment on Chelsea taking a semester off?

[[Page 1491]]

    The President. No, she's actually--Stanford is on the quarter 
system. They do three quarters. So she doesn't have to take that much 
time off. She's already got way more credits than she needs to graduate, 
and she wants to be with her mother and me for these last few months of 
our time together.
    You know, she spent about--well, now, more than a third of her life 
in the White House, and she wants to have some more days there. She 
wants to be able to help her mother. And she wants to be able to keep 
company with her father, which is always a surprising thing when your 
children grow up and they want to spend time with you. I think Hillary 
and I are immensely gratified by that.
    I hope that she enjoys her time here. And it's been a great comfort 
to Hillary and me to have her around more. I just think it's just a 
family decision that she wanted to make, and she can still graduate on 
time with her class, and so I'm glad she's doing it.
    Thanks.

Note: The President spoke at 12:30 p.m. at Theodore Francis Green State 
Airport on arrival in Providence, RI. In his remarks, he referred to Ed 
McMahon, Publishers Clearing House Sweepstakes spokesperson; and Prime 
Minister Ehud Barak of Israel.