November 22 2008
By Matthew Weaver
Barack Obama has outlined his plan to create 2.5m jobs in his first two years in office with an ambitious spending programme on roads, schools and and renewable energy.
In his weekly internet address the United States president-elect warned that the US was “facing an economic crisis of historic proportions”.
But he suggested he was keen to launch a major two-year spending programme, to “jumpstart job-creation in America and lay the foundation for a strong and growing economy”. He pledged the programme would create 2.5 million jobs by January 2011.
That goal has led to speculation that Obama will try to launch a spending package larger than the $175bn (£118bn) plan he outlined in his election campaign.
Obama said details of the programme were being worked out by his transition team.
“We will put people back to work rebuilding our crumbling roads and bridges, modernising schools that are failing our children, and building wind farms and solar panels and fuel efficient cars and the alternative energy technologies that can free us from our dependence on foreign oil,” he said.
Both Republican and Democrat support would be needed to get the programme approved, he said, but “what is not negotiable is the need for immediate action”.
Noting the turmoil on Wall Street, a drop in house sales, rising unemployment and the threat of deflation, he said: “There are no quick or easy fixes to this crisis, which has been many years in the making, and it’s likely to get worse before it gets better.”
But Obama said his inauguration day on January 20 “is our chance to begin anew”.
“We must do more to put people back to work, and get our economy moving again.
“There are Americans showing up to work in the morning only to have cleared out their desks by the afternoon. These Americans need help and they need it now.”
Wall Street ended a volatile week with renewed confidence last night, after reports that Obama had chosen Timothy Geithner, the head of the New York Federal Reserve, as his treasury secretary.
The Dow Jones industrial average recorded a 494-point gain on the day as stocks surged by 6.5% to close above the psychologically important 8,000 level at 8046.42. It was still 5% down for the week, however, as worries persisted about the global economic slowdown.
Geithner, 47, has always been a favourite to take the top job and his appointment was expected to be announced by the Obama camp this weekend.
This plan is a far cry better then tax cuts which have been used for years.
This a direct approach to the problem. It will boost the economy on many fronts. The more people working the more spending.
What it may cost, is saved by less people being on welfare or unemployment.
Their will also be saveings in the health care department as well.
Less people beoming homeless as well.
This plan puts money into the peoples pockets.
This plan could very well, in the end pay for itself.
Tax cuts do little or nothing to boost the econonmy.
Corporations just buy yet another jet or give their CEO’s a raise in pay.
Obviously that hasen’t worked all that well.
Seems they are more prone to killing jobs as we have seen in the recent past.
Obama’s will work. Renewable energy is an extrememly fabulous way to go.
Certainly better then going to war to secure Oil for example from another country.
Which by the way leave a massive foot print of pollution behind.
Renewable clean energy will also play a great part in preventing pollution.
Pollution is something America has not addressed with open arms. They were put in a state of fear that it was a bad thing and would destroy jobs.
Of course we full well know this was propaganda by profiteering, Corporations that pollute. They just don’t want to clean up their act.
They put profit before the environment.
Investing in children’s education is beneficial to everyone. They are the future generation who will someday be the caretakers of the planet. Giving them the tools they need is a wise move.
Each child has a gift to give to the world. Each child deserves a fair and equal chance to foster their gift.