Rising oil prices, a crashing job market, and a tenacious mortgage crisis have created “economic challenges” for the US, President Bush said in Chicago yesterday, a shift from his insistence that the economy is fundamentally strong. While acknowledging “Americans are anxious about the economy,” Bush stopped short of saying the nation is entering a recession, reports the New York Times.
The economy increasingly is taking center stage in Washington and on the campaign trail as Bush and congressional leaders react to diverse economic signals. Debate surrounding whether an economic rescue package is needed and what shape it might take is escalating. Bush is expected to make a decision on a stimulus package in time for the State of the Union address on Jan. 28.