FROM THE OFFICE OF PUBLIC AFFAIRS

July 9, 2004
JS-1777

The Honorable John W. Snow
Prepared Remarks: the Van Otis Chocolate Factory
Manchester, NH
July 9, 2004

 Good morning, and thank you for having me here today. It's great to be here in Manchester, and great to see this thriving business.

I'm delighted that the tax cuts we had in mind for small businesses are helping businesses like this just the way we envisioned they would. It tells me that government has done the right thing for America's entrepreneurs and job creators – and when government does that, we're doing a good thing for all of America.

When the President looked at how and where to cut taxes, small business was one of the top groups he had in mind as beneficiaries of the cuts. He knew that the owners and managers of small firms will always put tax savings back into their business – by purchasing new equipment, hiring new people or giving them health benefits. That's good for workers, and that's good for our economy. It has a terrific ripple-effect that reminds us why "small business" isn't small at all in economic terms.

Since those tax cuts went into effect, America's economy has turned the corner and is now on an impressive trajectory. We're beyond recovery at this point; we're on a path for sustained growth.

Economic growth in this country is the highest it's been in 20 years. The economy has posted steady job gains for each of the last ten months – creating more than 1.5 million jobs since August. We'd like the unemployment rate to be even lower, but as it is it's lower than the average rate of the 70s, 80s and 90s.

The manufacturing sector has made a comeback, reporting increased activity and new orders and, most importantly, up 64,000 jobs since its low point in January.

American's standard of living is on the rise, with after-tax incomes up 11% since December of 2000.

Consumer confidence is at its highest level in two years and homeownership is at an all-time high.

So there's great news nationally, and there's great news here in New Hampshire. You have an impressively low unemployment rate, and have been creating jobs steadily since January.

The key now is to keep this positive trend going. We want to keep those tax cuts permanent, keep taxes low. This year, more than 525,000 taxpayers here in New Hampshire will have lower income tax bills. Nearly 125,000 New Hampshire business taxpayers like you will save on your taxes and be able to invest that savings in your companies. Following this good news with a tax increase would be bad for the people and businesses of New Hampshire, and bad for the national economy.

We need to combine the benefits of lower taxation with health-care reform that brings down the cost of your health insurance and lawsuit abuse reform that enables you to operate without the constant worry that a baseless suit will be filed against you. We also need Congress to pass the President's energy plan to reduce our dependence on foreign oil and bring our energy costs down.

All of these things will help your business, and that helps the people who work for you.

Thank you for all that you do to supply the people of New Hampshire with jobs, products and services… and thank you for continuing to be the backbone of this great American economy.