President Bush announces $145B tax relief plan


WASHINGTON (AP) -- President Bush is calling for around $145 billion worth of tax relief to stimulate a sagging economy.

Bush says in order to be effective, a stimulus package would have to represent about one percent of the gross domestic product.

Bush and Congress are scrambling to act, amid mounting fears of a recession. There are concerns that a severe housing slump and a painful credit crisis could cause people to stop spending, and cause businesses to stop hiring.

Bush says the package must include tax incentives for business investment and "direct and rapid" tax relief for individuals.

Bush says, "Letting Americans keep more of their money should increase consumer spending." He also says Congress should work quickly to send him legislation to "keep our economy growing and creating jobs."