    [Public Papers of the Presidents of the United States: George W. Bush (2008, Book I)]
    [January 19, 2008]
    [Pages 98-99]
    [From the U.S. Government Publishing Office www.gpo.gov]

    The President's Radio Address
    January 19, 2008

        Good morning. Yesterday I visited Wright Manufacturing, a business
    in Frederick, Maryland, that makes commercial lawnmowers. Businesses
    like Wright are the driving force behind our economic success. They
    create jobs and opportunities for millions of workers. And entrepreneurs
    like those at Wright Manufacturing keep our economy growing.
        This is a challenging period for our economy, and I know many of you
    listening are concerned about the future. My advisers and many outside
    experts expect that our economy will continue to grow over the coming
    year, but at a slower rate than we have enjoyed for the past few years.
    And there's a risk of a downturn. Continued instability in the housing
    market, for example, could cause additional harm to the overall economy
    and put our growth and job creation in jeopardy.
        In recent months, we have taken steps to shore up the housing
    sector, including measures to help struggling homeowners

    [[Page 99]]

    avoid foreclosure and keep their homes. I have also asked Congress to
    pass legislation to modernize the Federal Housing Administration and
    enable it to provide more assistance to struggling homeowners. Congress
    needs to send me a bill with these reforms right away.
        After careful consideration and discussion with Members of Congress,
    I have concluded that additional action is needed to keep our economy
    growing and creating jobs. Congress and my administration need to work
    together to enact an economic growth package as soon as possible.
        As Congress considers such a plan, there are certain principles that
    should guide their deliberations. This growth package must be big enough
    to make a difference in an economy as large and dynamic as ours, which
    means it should be about 1 percent of GDP. This growth package must be
    built on broad-based tax relief that will directly affect economic
    growth, not the kind of spending projects that would have little
    immediate impact on our economy. This growth package must be temporary
    and take effect right away so we can get help to our economy when it is
    needed most. And this growth package must not include any tax increases.
        Specifically, this growth package should bolster both business
    investment and consumer spending, which are critical to economic growth.
    This requires two key provisions. To be effective, a growth package must
    include tax incentives for American businesses, including small
    businesses, to make investments in their enterprises this year. And it
    must also include direct and rapid income tax relief for Americans like
    you.
        Passing a new growth package is our most pressing economic priority.
    And when that is done, Congress must turn to the most important economic
    priority for our country: making sure the tax relief now in place is not
    taken away from you. Unless Congress acts, the marriage penalty will
    make a comeback, the child tax credit will be cut in half, the death tax
    will come back to life, and tax rates will go up on regular income,
    capital gains, and dividends. This tax increase would put jobs and
    economic growth at risk. So it is critical that Congress make this tax
    relief permanent.
        I am optimistic about our economy because people like you have shown
    time and again that Americans are the most industrious, creative, and
    enterprising people in the world. That is what has made our economy
    strong, and that is what will make it stronger in the challenging times
    ahead.
        Thank you for listening.

    Note: The address was recorded at 12:15 p.m. on January 18 in the
    Cabinet Room at the White House for broadcast at 10:06 a.m. on January
    19. The transcript was made available by the Office of the Press
    Secretary on January 18, but was embargoed for release until the
    broadcast. The Office of the Press Secretary also released a Spanish
    language transcript of this address.