Bush to reveal emergency fiscal stimulus plan

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                        U.S. President George W. Bush gives a speech at the Emirates Palace Hotel in Abu Dhabi Jan. 13, 2008. (Xinhua/Reuters FilePhoto)Photo Gallery>>>
BEIJING, Jan. 18 (Xinhuanet) -- U.S. President George Bush is expected to lay out his position onan emergency fiscal stimulus package Friday but isn't expected to go into specifics, according to his press secretary.
    Dana Perino said Bush would demand that any package be effective, simple and temporary — mirroring calls by Democratic lawmakers for a "timely, targeted and temporary" stimulus measure.
    Taxpayers could receive rebates of up to 800 U.S. dollars for individuals and 1,600 dollars for married couples under a White House plan. Although lawmakers were considering smaller rebate checks and more money for food stamp recipients and the unemployed, Bush told congressional leaders that he favors income tax rebates for people and tax breaks for business investment.
    Federal Reserve Chairman Ben Bernanke entered the stimulus debate Thursday, endorsing the idea of putting money into the hands of those who would spend it quickly and boost the flagging economy.
    Bernanke voiced his support for a stimulus package in an appearance before the House Budget Committee. He stressed that it must be temporary and must be implemented quickly — so that its economic effects could be felt as much as possible within the next 12 months.
    "Putting money into the hands of households and firms that would spend it in the near term" is a priority, he said.
    Aides to lawmakers involved in the talks said the White House also wants to eliminate the 10 percent income tax bracket for one year and issue a rebate within months. Advocates for the poor said that tens of millions of people in lower income ranges would be left out or not fully feel the benefit of the White House plan.
    The president did not push for a permanent extension of his 2001 and 2003 tax cuts, many of which are due to expire in 2010, officials said. That would eliminate a potential stumbling block to swift action by Congress, since most Democrats oppose making the tax cuts permanent.
    Especially important is making sure a plan can put cash into the hands of poor people and the middle class, who are most likely to spend it right away, he said, though he added that research shows affluent people also spend some of their rebates.
    (Agencies)
Bush embraces calls for economic stimulus package
WASHINGTON, Jan. 17 (Xinhua) -- U.S. President George W. Bush embraces calls for an economic stimulus plan to help avert recession, White House spokesman Tony Fratto said Thursday.
    "The president does believe that over the short term, to deal with the softening of the economy, that some boost is necessary," Fratto said.
               
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