THE PRESIDENT: Good morning. This week, I met with entrepreneurs
and workers in Ohio and New York, and talked to them about how we are
strengthening America's economy. Over the past three years, America's
economy has faced a series of challenges: stock market decline,
recession, terrorist attacks, corporate scandals, and the uncertainties
of war. My administration confronted those challenges squarely, and
acted boldly. We reduced taxes on families and small businesses, we
encouraged new investment and we're seeing the results.
America has the fastest-growing major industrialized economy in the
world. American productivity has grown faster over the last two years
than at any time in more than 50 years. More manufacturers have been
reporting rising activity than at any point in the last 20 years. Home
ownership rates are the highest ever. Inflation is low, and interest
rates and mortgage rates are near historic lows. The unemployment rate
of 5.6 percent is below the average unemployment rate in the 1970s, the
1980s and the 1990s. And last month marked the sixth consecutive month
of increased employment in America.
Yet, some industries and some parts of the country are still
lagging behind. In Ohio, where many manufacturers are now so
productive, they can produce more goods without hiring new workers. In
cities like Youngstown and Cleveland, many workers are concerned about
their future, about their benefits, and about the opportunities their
children will have.
Some politicians in Washington see this new challenge, and they
want to respond in old, ineffective ways. They want to increase
federal taxes -- yet punishing families and small businesses is not a
job-creation strategy. They want to build up trade walls, and isolate
America from the rest of the world -- but economic isolationism would
threaten the millions of good American jobs that depend on exports.
These tired, old policies of tax and spend, and economic isolationism,
are a recipe for economic disaster. There's a better way to help our
workers and help our economy.
First, we must pursue a confident policy of trade. Millions of
American jobs depend on our goods being sold overseas; and
foreign-owned companies employ millions of Americans here at home. We
owe those workers our best efforts to make sure other nations open up
their markets, and keep them open. We want the entire world to buy
American, because the best products in the world carry the label, "Made
in the USA."
Second, we must remain the best place in the world to do business
-- to start a company and hire workers. We need fewer mandates and
unnecessary regulations on small businesses. We need legal reform in
America to cut down on junk lawsuits. We need to help companies and
their employees confront the rising costs of health care. We need to
make sure the tax relief is made permanent, to keep our economy on the
path to growth and job creation.
Third, we need to make sure American workers are prepared for the
higher-skilled jobs our economy is creating. I worked with Congress to
pass the No Child Left Behind Act, which is bringing higher standards
to every public school in America. We have a plan to help our high
schools and community colleges train people in the skills they need.
We're helping workers who have been displaced by the effects of trade,
by giving them assistance for job training, and health care, and
relocation expenses.
Again and again, economic pessimists have questioned the skills and
creativity and energy of America's workers. The pessimists have always
been wrong. America's workers and entrepreneurs will meet every
challenge. With the right policies in Washington, we will maintain
America's economic leadership, we will create more jobs, and we'll help
our workers achieve a better life.