FROM THE OFFICE OF PUBLIC AFFAIRS

October 21, 2004
JS-2047

The Honorable John W. Snow
Prepared Remarks: Financial Forum at Banco Popular
Orlando, FL
October 21, 2004

Thank you so much for joining me for this forum today, and thanks to Banco Popular for hosting the event.

I'm looking forward to talking with you about Florida's economy, and about the national economy.

Floridians know as well as anyone what it takes to recover from adversity. That's what you are doing, after one of the worst hurricane seasons in history, and that's also what our national economy is doing, after suffering some of the worst economic blows we've ever known.

We are fortunate to live in a country that has an incredible, naturally resilient economy. But sometimes government does need to take action to steer it back on the right course, especially when outside forces cause harm.

In Florida, hurricanes left you needing a helping hand to get you back on your feet. That's why President Bush has signed legislation enacting hurricane relief assistance, carrying out his commitment to provide emergency assistance to areas affected by the recent hurricanes.

The hurricane relief package, which was included in the Military Construction Appropriations and Emergency Hurricane Supplemental Appropriations Act, 2005, provides $11.6 billion in emergency relief to assist families, individuals, and communities in the wake of Hurricanes Charley, Frances, Ivan, and Jeanne.

Combined with the hurricane relief signed by President Bush on September 8, 2004, a total of $13.6 billion in emergency funding has been provided to assist those recovering from the recent natural disasters.

On the national level, we've recovered from different kinds of disasters, and we've come a long way. When he took office, President Bush inherited an economy in steep decline. The stock market bubble had been pierced. We were then shocked by terrorist attacks and wounded by reprehensible behavior by corporate CEOs that hurt employees, investors and investor confidence.

We are fortunate that our economy is the most open, flexible, adaptive and resilient in the world. Our powerful core elements – small-business owners and entrepreneurs, an outstanding workforce, and the simple fact that we operate as a free market – have enabled us to recover from those very difficult economic times.

Sound monetary policy from the Federal Reserve Board helped to stimulate our recovery as well. Lower interest rates encouraged investment, which is critical for economic recovery and growth.

Finally, President Bush's tax cuts gave our economy the oxygen it needed to right itself, and continue on a path of growth and job creation.

Here in Florida, the President's tax cuts allowed small-business owners to keep more of your business income, and encouraged them to invest in the growth of their companies. For example, nearly 1.4 million business taxpayers here in Florida will save money on their 2004 taxes.

Similarly, the tax cuts have allowed individuals to keep more of their income. More than 6.1 million Florida taxpayers will have lower income tax bills in 2004 thanks to the tax relief.   

Letting people keep more of their own money, and spend it how they see fit, has helped put our nation on the right track. Nationwide, over 1.9 million jobs have been created since last August – 13 straight months of job growth. More people than ever before own their own homes, and new homes are being purchased every day at near record rates. People are finding new, good jobs. They have more money in their pockets and can better afford things from cars to appliances to shoes for their children. National income and national wealth have never been higher.

That said, we know we can do better. New jobs cannot come soon enough for the people who have lost theirs. The question is: where will those jobs come from?

An important, ongoing truth of the American economy is this: the government won't and shouldn't choose what jobs are created; entrepreneurs and innovators will. Government's responsibility is to make sure they have the freedom to do so.  And right at the center of job creation lie entrepreneurship and small businesses.  They create two out of three new jobs in the U.S. and it is because of them that jobs are growing at such a good rate across the country. 

That's why entrepreneurs and small-business owners are at the heart of President George W. Bush's economic policies. The President understands that creating an environment in which they can flourish is the essential ingredient in any recipe for economic growth. Often it is best if government simply gets out the way.

How to help our economy right itself when it is in distress is a lesson in American history. We know from long experience that our economy responds best to the very thing that created it: freedom.

Free trade. Freedom from excessive taxation. Freedom from abusive, frivolous lawsuits and of course freedom from terrorist assaults.

When freedom, fairness and American entrepreneurs are combined, the end product is jobs and growth. Add relevant worker training to that equation, and you have high employment-and that's the path we're on.

We have plenty of work to do – in Florida and across America. But if we continue on the path of freedom and making sure individuals, entrepreneurs and family businesses have an open and fair environment in which they can work and grow, our best economic days will remain ahead of us and I am optimistic about our future.

I look forward to our discussion; let's get started.