Washington
11 July 2009
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| U.S. President Barack Obama (file photo) |
President Barack Obama says his economic recovery plan is working as
intended. But the president cautions that it will take more time for
the stimulus to have its full effect.
President Obama says
that his administration's swift and aggressive action early this year
has helped pull the U.S. economy and financial system "back from the
brink."
While traveling overseas, the president is focusing his weekly address on the domestic economy.
He says the Recovery Act was not intended to restore the economy alone, but to help stop its free fall.
"It
was designed to spur demand and get people spending again and cushion
those who had borne the brunt of the crisis. And it was designed to
save jobs and create new ones. In a little over 100 days, this
Recovery Act has worked as intended," he said.
Mr. Obama's $787
billion stimulus plan took effect in February. He says it has
prevented further job losses, extended unemployment insurance and
health insurance to those who have lost their jobs, and given $43
billion in tax relief.
In Saturday's address, the president says
the plan's critics are being proven wrong, and there are no plans for
another stimulus package.
"Today, some of those same critics are
already judging the effort a failure, although they have not yet
offered a plausible alternative," he said. "Others believed that the
recovery plan should have been even larger, and are already calling for
a second recovery plan."
One of most vocal critics of the
president's Recovery Act is Republican Congressman Eric Cantor of the
Eastern state of Virginia.
"But the plain truth is that
President Obama's economic decisions have not produced jobs, have not
produced prosperity, and simply have not worked," he said.
In
the weekly Republican message, Cantor says the Recovery Act is full of
irresponsible spending, government waste and massive borrowing, and is
causing trillions of dollars in new debt.
He says Mr. Obama can no longer blame former President George W. Bush for America's economic woes.
"Simply
put, this is now President Obama's economy, and the American people are
beginning to question whether his policies are working," he said.
Mr.
Obama says despite the plan's early successes, it will take some time
for the stimulus money to be spent and for unemployment to recede.
"But
as I made clear at the time it was passed, the Recovery Act was not
designed to work in four months. It was designed to work over two
years."
Mr. Obama returns to the White House on Sunday, after a week-long trip to Russia, Italy and Ghana.