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Bush: Economic Recovery Shows Tax Cuts Are Working - 2003-12-06

President Bush says signs of recovery in the U.S. economy show that his record tax cuts are working. Democrats say the president's tax cuts are driving up huge federal deficits.

President Bush says the U.S. economy is on a solid path of recovery.

"With strong sales and improving profits, companies will continue to hire new workers in the coming year," the president said. "And because of tax relief, all workers will get to keep more of what they earn, and small businesses will be able to create more jobs."

In his weekly radio address, Mr. Bush said American families have reason to be optimistic with the U.S. economy, which added 57,000 new jobs in November. Automobile sales and new home construction were also up.

The strength of the U.S. economy will be crucial to the president's campaign for re-election. There are signs that a recession made worse by the terrorist attacks of 2001 is ending. Economic growth and worker productivity reached 20-year highs during this year's third financial quarter.

To consolidate those gains, Mr. Bush again called on Congress to pass a six-point economic plan, including making his tax cuts permanent and negotiating more free trade agreements. The plan also seeks to reduce medical malpractice lawsuits, limit class action cases, reduce small business regulations, and increase domestic energy supplies.

"With the confidence and hard work of the American people, and with the right policies in Washington, there are even brighter days ahead for the American economy.," Mr. Bush said.

The president's Democratic challengers continue to stress the almost three million jobs that have been lost since President Bush came to office. While there were more new jobs in November, the number was lower than economists predicted, and unemployment remains at almost six percent.

In the Democratic radio address, Oregon Congresswoman Darlene Hooley called on Republican leaders in Congress to extend unemployment benefits for the millions of Americans still looking for work.

"Instead of visions of sugarplums this holiday season, let's give the American people a real vision for a prosperous future," she said.

Democrats say the president's record tax cuts are forcing states to cut essential services and are pushing up government borrowing, adding to the federal deficit.