O'Neill optimistic on economy
By Rachel Koning
07/19/2001 19:00
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Treasury Secretary Paul O'Neill, speaking on the eve of the mailing of the first of 92 million tax rebate checks headed for American homes, insisted the economy is getting this $40 billion shot in the arm "right when we need it most." But at the same time, he argued the economy's long-run prospects are favorable. "We've seen increasing reports of how the slowdown in the United States is affecting other economies, from Singapore to Germany, making the fiscal and monetary policy steps taken this year to boost the U.S. economy even more importnat," O'Neill told the Bond Market Association meeting in New York. "I remain optimistic that we are going to see higher growth next year, and that, as we did in 1998, the U.S. economy we will lead the world back to the path of prosperity." O'Neill spoke to some recent criticism he faced for suggesting the Social Security fund holds "no real economic assets" because it relays on future government decisions on debt issuance, tax collection and spending. "I'm not telling you anything you don't already know, but somehow people in Washington think if I tell you this, you'll panic," he said. "You know better and so do I. If we want people to live out their retirements with the dignity they deserve, then we have an obligation to make every American a wealth accumulator." |
