    [Public Papers of the Presidents of the United States: George W. Bush (2008, Book II)]
    [September 30, 2008]
    [Pages 1259-1260]
    [From the U.S. Government Publishing Office www.gpo.gov]

    Remarks on Economic Stabilization Legislation
    September 30, 2008

        Good morning. Yesterday the House of Representatives voted on a
    financial rescue plan that had been negotiated by congressional leaders
    of both parties and my administration. Unfortunately, the measure was
    defeated by a narrow margin. I'm disappointed by the outcome, but I
    assure our citizens and citizens around the world that this is not the
    end of the legislative process.
        Producing legislation is complicated, and it can be contentious. It
    matters little what a path a bill takes to become law; what matters is
    that we get a law. We're at a critical moment for our economy, and we
    need legislation that decisively address the troubled assets now
    clogging the financial system, helps lenders resume the flow of credit
    to consumers and businesses, and allows the American economy to get
    moving again.
        I recognize this is a difficult vote for Members of Congress. Many
    of them don't like the fact that our economy has reached this point, and
    I understand that. But the reality is that we are in an urgent
    situation, and the consequences will grow worse each day if we do not
    act. The dramatic drop in the stock market that we saw yesterday will
    have a direct impact on the retirement accounts, pension funds, and
    personal savings of millions of our citizens. And if our Nation
    continues on this course, the economic damage will be painful and
    lasting.
        And I know many Americans are especially worried about the cost of
    the legislation. The bill the House considered yesterday commits up to
    700 billion taxpayer dollars to purchase troubled assets from banks and
    other financial institutions. That, no question, is a large amount of
    money. We're also dealing with a large problem. But to put that in
    perspective, the drop in the stock market yesterday represented more
    than a trillion dollars in losses.
        Furthermore, both the nonpartisan Congressional Budget Office and
    the Office of Management and Budget expect that the legislation
    considered would ultimately cost the taxpayer far less than the 700
    billion, because the Government would be purchasing troubled assets and
    selling them

    [[Page 1260]]

    once the market recovers. It is likely that many of the assets would go
    up in value over time. Ultimately, we expect that much, if not all, of
    the tax dollars we invest will be paid back.
        As much as we might wish the situation were different, our country
    is not facing a choice between Government action and the smooth
    functioning of the free market. We're facing a choice between action and
    the real prospect of economic hardship for millions of Americans. And
    for the financial security of every American, Congress must act.
        My administration will continue to work closely with leaders of both
    parties on Capitol Hill. I appreciate their determined efforts. While
    Congress is out today for the Jewish holiday, my administration will be
    talking to congressional leaders today about how we can move legislation
    forward when Members begin returning to the Capitol tomorrow. Our
    economy is depending on decisive action from the Government. The sooner
    we address the problem, the sooner we can get back on the path of growth
    and job creation. This is what elected leaders owe the American people,
    and I am confident we'll deliver.
        Thank you.

    Note: The President spoke at 8:45 a.m. in the Diplomatic Reception Room
    at the White House. In his remarks, he referred to H.R. 3997. The Office
    of the Press Secretary also released a Spanish language transcript of
    these remarks.