Congress foils economic solutions, Bush says
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WASHINGTON — President Bush used a Rose Garden news conference Tuesday to pronounce the state of the economy anything but rosy and blame Congress for blocking his solutions.

The president's dual goals — assuring Americans he understands their plight and challenging Congress to act — were on display as he cited evidence of "tough times" and recited his proposals that lawmakers have blocked.

When questioned, however, Bush made clear he would block congressional proposals as well — to stop filling the nation's Strategic Petroleum Reserve, enact a farm bill that includes increased food aid and add help for the unemployed to a spending bill for the wars in Iraq and Afghanistan.

Bush acknowledged that Americans are hurt by rising food and gas prices and a depressed housing market, but he refused to call the economic situation a recession. "The average person doesn't really care what we call it," he said.

"The American people are looking to their leaders to come together and act responsibly," Bush said. "I don't think this is too much to ask, even in an election year."

Democrats agreed, but they accused Bush of being the one blocking action. "All of a sudden, he's realizing the problems," said Sen. Chuck Schumer, D-N.Y. "The president and the White House have repeatedly ignored repeated shots across the bow of our economy. Rising foreclosures, falling home prices, withering consumer confidence and record oil company profits — none of them are being addressed."

The war of words came one day before the Commerce Department was to release first-quarter statistics on economic growth. A negative growth rate, if it continued into the current second quarter, could signal that the economy is in recession.

Reporters have tried to get Bush to use that word, but he refused again Tuesday. "Economists can argue over the terminology," he said. "These are difficult times, and the American people know it, and they want to know whether or not Congress knows it." He accused lawmakers of "playing politics" and "inactivity on big issues."

Bush criticized Congress for blocking his proposals on expanding U.S. energy production, reducing subsidies to wealthy farmers and overhauling federal mortgage lending agencies.

He said he would consider proposals to lower gas prices, but he did not endorse Republican presidential candidate John McCain's plan for a gas tax holiday this summer. He opposed calls by House Speaker Nancy Pelosi and others to stop buying oil for the Strategic Petroleum Reserve as a way to reduce gas prices. "I have analyzed the issue, and I don't think it would affect price," Bush said.

"If there was a magic wand to wave, I'd be waving it," Bush said. "There is no magic wand to wave right now. It took us a while to get to this fix."

In a more conciliatory tone, Bush said he would work with Congress to increase Iraq and Afghanistan veterans' educational benefits. Democrats plan to attach that and other domestic spending, including extended jobless benefits, to the war spending bill next month. Bush said he would not accept anything over $108 billion.

The news conference — Bush's first in two months — came as attentions are on the presidential race. Bush limited his comments on the contest to predicting McCain would win and continue his policies of free trade and fighting terrorism.

On other issues, the president:

•Avoided criticism of former president Jimmy Carter's recent meeting with Hamas leaders in the Middle East. He said he had not talked to Carter beforehand and didn't know the details of any conversations administration officials held with him. He blamed Hamas for undermining peace talks with Israel.

•Defended his decision to withhold information from Congress until last week on North Korea's alleged role in building a nuclear reactor in Syria that was bombed by Israel. He said 22 lawmakers were briefed after the bombing in September but only now was the "risk of retaliation" reduced sufficiently to speak openly of North Korea's alleged involvement.

•Said the war in Afghanistan is being won despite slow progress against the Taliban. "We are in a global struggle against thugs and killers," he said. "Is it worth the fight? In my judgment, yes, it is."

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President Bush speaks during a news conference in the Rose Garden at the White House.
By Jason Reed, Reuters
President Bush speaks during a news conference in the Rose Garden at the White House.
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