Bush: Our Entire Economy is in Danger
Source: Al-Manar TV, 25-9-2008
US President George W. Bush rang the alarm bell late on Wednesday as he announced in a television address to the US public that "our entire economy is in danger."
"We are in the midst of a serious financial crisis," he said from the White House's ornate East Room a day before hosting unprecedented crisis talks.
The US President's announcement on the US economy comes as Democratic presidential hopeful Barack Obama said he would now attend a White House meeting Thursday on the financial crisis, and stressed that the first 2008 US presidential debate should go ahead as scheduled Friday.
His Republican rival John McCain had announced the suspension of his presidential campaign on Wednesday over the Wall Street meltdown and called for the debate to be postponed. He will meet with Bush, Obama and congressional leaders at the White House summit in an attempt to solve the crisis.
"I believe companies that make bad decisions should be allowed to go out of business," Bush said. "Under normal circumstances, I would have followed this course. But these are not normal circumstances."
He cited a market that was not functioning properly, a widespread loss of confidence and major financial sectors at risk of shutting down. More financial distress could lead more banks to fail, the stock market to drop further, businesses to close, job losses and home values to drop, Bush said.
"And, ultimately, our country could experience a long and painful recession," Bush said. "Fellow citizens, we must not let this happen."
US FINANCIAL CRISIS IMPACT COULD WORSEN: CHINA
China weighed in on the US financial crisis Wednesday, with Premier Wen Jiabao warning that its international impact could become "more serious" and stressing the need for concerted efforts to contain the turmoil.
He indicated that China, the world's biggest holder of foreign reserves and second biggest holder of US treasury bills, was ready to help in an international bid to defuse the turmoil that has rocked financial markets across the globe.
"The ongoing financial volatility, in particular, has affected many countries and its impact is likely to become more serious," Wen told the UN General Assembly.
"To tackle the challenge, we must all make concerted efforts," Wen told the UN meeting at the tail end of his address, which touched on various issues, including a pledge to push ahead with reforms to fuel growth in the world's most populous nations.
Hu told Bush that China welcomed Washington's efforts to stabilize the US financial markets and hoped they succeed, according to Beijing's state media.
But as Wen spoke Wednesday at the United Nations, the Bush administration remained locked in a dispute with the US Congress over the massive bailout package aimed at buying distressed mortgages and mortgage-related securities from financial institutions.
Financial markets, including in China, have been volatile since the US crisis peaked this month, triggered by the bankruptcy of
Lehman Brothers and a Federal Reserve rescue of insurance and financial giant AIG last week.
Wen hinted that China would help in any international bid to defuse financial contagion arising from the US crisis, saying this was not the time for "hostility" or "prejudice."
US President George W. Bush rang the alarm bell late on Wednesday as he announced in a television address to the US public that "our entire economy is in danger."
"We are in the midst of a serious financial crisis," he said from the White House's ornate East Room a day before hosting unprecedented crisis talks.
The US President's announcement on the US economy comes as Democratic presidential hopeful Barack Obama said he would now attend a White House meeting Thursday on the financial crisis, and stressed that the first 2008 US presidential debate should go ahead as scheduled Friday.
His Republican rival John McCain had announced the suspension of his presidential campaign on Wednesday over the Wall Street meltdown and called for the debate to be postponed. He will meet with Bush, Obama and congressional leaders at the White House summit in an attempt to solve the crisis.
"I believe companies that make bad decisions should be allowed to go out of business," Bush said. "Under normal circumstances, I would have followed this course. But these are not normal circumstances."
He cited a market that was not functioning properly, a widespread loss of confidence and major financial sectors at risk of shutting down. More financial distress could lead more banks to fail, the stock market to drop further, businesses to close, job losses and home values to drop, Bush said.
"And, ultimately, our country could experience a long and painful recession," Bush said. "Fellow citizens, we must not let this happen."
US FINANCIAL CRISIS IMPACT COULD WORSEN: CHINA
China weighed in on the US financial crisis Wednesday, with Premier Wen Jiabao warning that its international impact could become "more serious" and stressing the need for concerted efforts to contain the turmoil.
He indicated that China, the world's biggest holder of foreign reserves and second biggest holder of US treasury bills, was ready to help in an international bid to defuse the turmoil that has rocked financial markets across the globe.
"The ongoing financial volatility, in particular, has affected many countries and its impact is likely to become more serious," Wen told the UN General Assembly.
"To tackle the challenge, we must all make concerted efforts," Wen told the UN meeting at the tail end of his address, which touched on various issues, including a pledge to push ahead with reforms to fuel growth in the world's most populous nations.
Hu told Bush that China welcomed Washington's efforts to stabilize the US financial markets and hoped they succeed, according to Beijing's state media.
But as Wen spoke Wednesday at the United Nations, the Bush administration remained locked in a dispute with the US Congress over the massive bailout package aimed at buying distressed mortgages and mortgage-related securities from financial institutions.
Financial markets, including in China, have been volatile since the US crisis peaked this month, triggered by the bankruptcy of
Lehman Brothers and a Federal Reserve rescue of insurance and financial giant AIG last week.
Wen hinted that China would help in any international bid to defuse financial contagion arising from the US crisis, saying this was not the time for "hostility" or "prejudice."
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