BBC News: Bush says economic 'panic' easing, Americans "more relaxed"

Bush says economic 'panic' easing

http://news.bbc.co.uk/2/hi/americas/7681259.stm



The US president has suggested that Americans are starting to feel more positive about their economic future.

During a meeting with business leaders in Louisiana, George Bush said people's attitudes had changed from "near panic" to a "more relaxed" approach.

He put it down to the effects of the huge bail-out agreed with Congress to sustain the financial system.

Earlier, Federal Reserve chief Ben Bernanke said more government spending may be needed to combat the slowdown.

Although Mr Bernanke stopped short of saying the US was in recession, he said the American economy was likely to be weak for several quarters.

A fresh economic stimulus package "at this juncture seems appropriate", he told the US House of Representatives budget committee.

His comments were welcomed by Democratic leaders in Congress, who called on Republicans and the White House to work together to formulate a plan.

A White House spokesman said the Bush administration was "open" to a new package, depending on its make-up, and would seek guidance from others including Mr Bernanke.

Mr Bush struck an optimistic tone while addressing the Central Louisiana Chamber of Commerce.

"I have heard that people's attitudes are beginning to change from a period of intense concerns - I would call it near panic - to being more relaxed," he said.