A recap of the previous evening's State of the Union Address by President Bush. In his address Bush asked Congress to “go to war” over the recession. The Fed Chair Alan Greenspan indicated that the economy may have already recovered. “We are beginning to see subtle signs that the erosion in the economy may have begun to stabilize.” Greenspan says that tinkering with the economy with Congressional policy changes may make things worse. Bush meets with Speaker of the House Tom Foley on Capitol Hill.
Bush announced an executive order to change the rate at which the tax is withheld form everyone’s paycheck to make the withholding less. This increases take home pay to get an immediate amount of money into the economy for consumption use. It does not change the amount of tax owed, but rather when it is paid.
Bush wants to offer a $5,000 tax credit for first time home buyers and allowing people to use their IRA to fund a down payment.
The GDP was up in the fourth quarter of 1991.
22 авг 2024
