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Like a Cloud, Economic Woes Follow Bus Tour
The New York Times ^ | August 4, 2003 | ELISABETH BUMILLER

Posted on 08/04/2003 12:33:05 PM PDT by Willie Green

For education and discussion only. Not for commercial use.

CRAWFORD, Tex. - President Bush slipped speedily into vacation mode this past weekend at his furnace of a ranch in Central Texas, where he spent Sunday fishing, clearing cedar and going for a walk with the first lady and his national security adviser, Condoleezza Rice. But before the president ducked out of public sight, he made sure to address one of the biggest re-election anxieties of Karl Rove, his chief political adviser: the nation's continuing loss of jobs and the uncertainty about the economy.

"This week, three members of my cabinet — Treasury Secretary John Snow, Commerce Secretary Don Evans and Labor Secretary Elaine Chao — visited business owners and their workers in the Midwest," Mr. Bush said in his weekly radio address on Saturday. "They received reports that the economy is picking up."

Well, yes and no.

Anyone on the trip, which was a very un-Air Force One-like, two-day, six-city bus journey across Wisconsin and Minnesota (Ms. Chao dined on Tuesday night at Burger King), could see that the cabinet members charged with promoting the president's tax cuts also heard a lot of anger from workers about foreign competition and laid-off relatives and friends.

"Right now I am very disillusioned with the Republicans' policies," said Michael Retzer, a Republican and a consultant to a supplier for Harley-Davidson. Mr. Retzer told Mr. Snow at a Harley plant near Milwaukee that he did not see how the tax cuts would stimulate the economy when so many consumers would spend the extra money on goods made overseas.

Later, in the kind of confrontation with a disgruntled citizen almost never seen on the president's trips, Mr. Snow tangled with an unemployed software programmer at the drive-through at Culver's Frozen Custard and ButterBurgers in Wausau, Wis.

"He said, `But your tax cuts haven't done anything for me,' " Mr. Snow recounted the next day to reporters, as the bus traveled through Minnesota. "And I said, `Well, now, let's just take a second and talk about that.' "

Here in McLennan County, Tex. — which includes the nearby city of Waco, the one-stoplight town of Crawford and the president's 1,600-acre ranch — the number of people unable to find work jumped to more than 6,000 in June 2003 from more than 4,000 in June 2000, according to the United States Bureau of Labor Statistics.

"That's pretty much a general slowdown that mirrors the rest of the country," said Cheryl Abbot, an economist at the agency's Southwest Regional Office in Dallas.

Although the McLennan County unemployment rate jumped from 4 percent in June 2000 to 5.7 percent in June 2003, it was still lower than the national unemployment rate in June of 6.4 percent. But the jobless rate for Texas that month was 7.5 percent, and more than 800,000 people in the state could not find work, up from 527,000 people in June 2000.

An unscientific series of interviews with Crawford businesspeople and churchgoers Sunday revealed plenty of support for Mr. Bush, whose presidency has brought a surge of tourists to the once-shuttered main street but uneasiness about the economy and nervousness about his policies.

"You look at the tax breaks he's cut for everybody and I wonder how he's able to do that," said John Dutschmann, 32, a sales manager for a concrete products company who had just attended services at Crawford's First Baptist Church. Mr. Dutschmann, a Democrat who supported Mr. Bush in 2000, said he was still behind the president, although he had trepidations about the economy. "We just put our trust in him, and we hope he knows what he's doing," he said.

Paul Stripling, 67, a Republican and executive director emeritus of the Waco Baptist Association, who had also attended services at the First Baptist Church, said that Waco had not felt the economic crunch as much as other parts of Texas and that Mr. Bush "is doing the best he can with a very precarious situation."

Brent Duncan, 40, a hotel owner who was talking with other parishioners after services at Crawford's United Methodist Church, said that his business was doing well — he is building a hotel in the nearby town of McGregor — and that he would probably vote for Mr. Bush in 2004. But Mr. Duncan, who described himself as a conservative Democrat, said that his support was not guaranteed.

"Let's see who the Democrats put out," he said.

Meanwhile, back at the ranch, Mr. Bush has little on his public schedule this week, although Secretary of Defense Donald H. Rumsfeld is to make an appearance Friday.

But next week, as part of a monthlong campaign to try to convince voters that sunnier economic days are just around the corner, Mr. Bush will meet at the ranch with his economic team, then take his economic message around the country in day trips from Crawford. His tone will be upbeat, which was evidently the tenor of the report he heard from his cabinet secretaries after the Midwest bus trip last week.

As Mr. Snow put it, "I'm going to go back and tell the president, `Mr. President, I ran into a lot of people who asked me personally to express my gratitude to you for worrying and thinking about us.' "

Mr. Snow did not say if he would mention the man in the drive-through at Culver's.


TOPICS: Business/Economy; Culture/Society; Government; Politics/Elections
KEYWORDS: economicteam; globalism; johnsnow; recession; thebusheconomy
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To: SouthParkRepublican
Take this with a grain of salt because I cant back it up with anything concrete (perhaps someone else can) but I heard that companies have to post IT jobs and interview US citizens before they can get workers on the H1B and L1 visas.

That is one of the requirements in the laws authorizing the H1-B visas.

61 posted on 08/04/2003 2:24:27 PM PDT by harpseal (Stay wel stay safe Stay armed Yorktown)
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To: Cacophonous
No, I don't. I'm simply pointing out that this is exactly why this program is supported by the GOP.

Frankly, I'd be perfectly content to let General Motors collapse under the weight of its pension and insruance obligations. I don't think Willie Green would be too happy about that, though.

62 posted on 08/04/2003 2:24:51 PM PDT by Alberta's Child
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To: harpseal
tag line refix
63 posted on 08/04/2003 2:25:31 PM PDT by harpseal (Stay well - Stay safe - Stay armed - Yorktown)
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To: Texas_Dawg
...he did not see how the tax cuts would stimulate the economy when so many consumers would spend the extra money on goods made overseas.

The gentleman made a valid point, one which you cannot refute. Neither can the administration. At least Bush refrains from making snide public remarks at the economic difficulties caused by massive taxation and regulation on working Americans.

Bush could help reverse the bleeding of jobs by pressuring Congress to shift the majority of the tax burden to foreign entities wishing to exploit our consumer market, and repealing 99.9% of the regulatory idiocy that stifles our productivity. The big question is: why is this not happening?

64 posted on 08/04/2003 2:28:42 PM PDT by meadsjn
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To: Alberta's Child
Frankly, I'd be perfectly content to let General Motors collapse under the weight of its pension and insruance obligations. I don't think Willie Green would be too happy about that, though.

I can not speak for Willie but I would be perfectly happy to have any Company that can not meet its pension and Insurance obligations go under if teh alternative is increased sociaism. However, tariffs where appropriate (not automobiles at this time) are an alternative to sociaism when government practices have caused theproblems in teh first place. besides they are a very good way to raise revenue so the income tax could be lowered.

65 posted on 08/04/2003 2:28:59 PM PDT by harpseal (Stay well - Stay safe - Stay armed - Yorktown)
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To: jpsb
Since we started socailizing medicine back in the 70's, prices have gone thru the roof.

I'm not so sure about that. Medicare costs have definitely spiraled out of control, but I believe this is the result of more people being in the program, not higher individual costs. Any medical procedure covered by Medicare costs less (in terms of what the doctor is paid) than it would cost for a private insurance company.

And Medicare can deny treatment without ever facing the "sue your HMO" crowd, either.

66 posted on 08/04/2003 2:29:11 PM PDT by Alberta's Child
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To: samuel_adams_us
Sounds like Karl Rove could use some Ginseng Root right now. What was it the Indians would be sending us, mangoes? I'm sure he could use them for his indigestion.
67 posted on 08/04/2003 2:31:21 PM PDT by LibertyAndJusticeForAll
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To: harpseal
In general, I don't have a problem with tariffs, either. But assessing tariffs in this nation's economic climate is absolutely moronic, because we would then have both income taxes and tariffs to contend with. Taxpayers wouldn't even be able to afford those products that are supposedly being protected by the tariffs!

If this sounds familiar, it is -- it's called "the European system."

68 posted on 08/04/2003 2:32:28 PM PDT by Alberta's Child
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To: harpseal
..what I am stating is it is fast becoming time for him to do this.

That is the concern of many. If Bush had started yesterday to take corrective measures, it might not be be soon enough.

Any of the Democrats running, and the ugly one waiting in the wings, would turn this country into a police state nightmare with an economy like this.

It is too bad that people forget, or are too young to remember, how Democrats create a crisis and then use to increase their power over the people.

69 posted on 08/04/2003 2:40:13 PM PDT by meadsjn
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To: meadsjn
The gentleman made a valid point,

No... he really didn't.

70 posted on 08/04/2003 3:00:11 PM PDT by Texas_Dawg ("...They came to hate their party and this president... They have finished by hating their country.")
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To: Alberta's Child
You've hit on the chicken-and-egg conundrum. We need to eliminate the burdens that taxes, regulations and unions impose on businesses AND impose tariffs. It's a bit disingenuous to claim on the one hand that businesses deserve to go under, and then on the other oppose tariffs on the basis that with government regs and taxes, it would be a double hit.

I think we should completely scrap the income tax system - completely - and go back to funding the government with tariffs. Now I know, free traders start screaming, "Tariffs are Taxes!"

The difference is, tariffs work like a consumption tax, and in that regard are much more equitable than the current progressive tax system.

71 posted on 08/04/2003 3:00:11 PM PDT by Cacophonous
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To: samuel_adams_us
Family First,
Friends Second,
Job Third.

Brain last.

72 posted on 08/04/2003 3:31:00 PM PDT by Mind-numbed Robot (Not all things that need to be done need to be done by the government.)
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To: Mind-numbed Robot
Funny, May I assume you are a slave to the almight dollar who puts your job before your family and friends? Or do you have family and friends?
73 posted on 08/04/2003 3:32:36 PM PDT by samuel_adams_us
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To: Cacophonous
If there is one single retiree that removes himself from his corporate insurance plan, I will be shocked

Nope, won't happen. They'll use the corporate plan, the government plan and probably have a plan or two more. Then they will b*itch and moan and complain if they have to spend $2.00 to get one of their many unneeded prescriptions filled.

74 posted on 08/04/2003 3:41:05 PM PDT by riri
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To: Texas_Dawg
I work in finance. Institutional equity sales, to be specific.

Sounds pretty cool. Now, how would you feel if your job got outsourced offshore? (Anyone who works at a desk on a computer is at risk). Would this have any effect on your opinions about free-trade?

75 posted on 08/04/2003 3:55:08 PM PDT by searchandrecovery (America will not exist in 25 years.)
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To: searchandrecovery
Sounds pretty cool. Now, how would you feel if your job got outsourced offshore?

As I've said repeatedly, I would get up and go find something else to do. I definitely would NOT ask the federal government to take everyone else's money in order to protect my salary. That is the definition of pathetic.

Would this have any effect on your opinions about free-trade?

No. Because I understand economics. So does RDB3 (a FReeper with an IT degree who is every bit the free marketeer that I am).

76 posted on 08/04/2003 4:08:41 PM PDT by Texas_Dawg ("...They came to hate their party and this president... They have finished by hating their country.")
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To: Texas_Dawg
...I would get up and go find something else to do.
Ok, self-reliance, responsibility - these are good things, we can agree here.

I definitely would NOT ask the federal government to take everyone else's money in order to protect my salary.
Ok, you're saying tariffs would artifically inflate prices for consumers (govt taking everyone else's money). I agree.

Here's a question for you - say you were president, would you push for complete, total, free trade with all countries of the world? Complete unrestricted trade, no rules? How deep are your free-trade convictions?

77 posted on 08/04/2003 4:29:00 PM PDT by searchandrecovery (America will not exist in 25 years.)
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To: searchandrecovery
Here's a question for you - say you were president, would you push for complete, total, free trade with all countries of the world? Complete unrestricted trade, no rules?

No, only because most Americans do not still understand free trade. I would probably end up passing the tariffs and farm subsidies that Bush passed, even though I would hate having to do it, knowing how much money it takes from everyone, especially the poorest Americans who nees it most. I would do it only out of political expediency (as was Bush's only reason for doing these things; much like his signing of the campaign finance bill). But in a better economic and political world (and one we are getting closer to in America) I would. Yes, I would push for the other countries to remove their tariffs and protections as well (to minimize the near-term effects on our economy that those actions might have). (This is entirely the point of the WTO and GATT.) But ultimately, their refusing to remove their "protections" would not stop me from removing ours. We would completely benefit in the long run and they would eventually be forced to remove theirs (as all communist, socialist, and other planned economies have been or are being forced to do by our freer market; which just keeps growing and growing as far as world market share is concerned).

78 posted on 08/04/2003 4:38:47 PM PDT by Texas_Dawg ("...They came to hate their party and this president... They have finished by hating their country.")
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To: Texas_Dawg
Thanks for your reply - I am trying to understand the free-market point-of-view - this was quite helpful. So, when ya gonna run for office? You do acknowledge political expediencies.

I'm kind of taken by the concept of India/Russia/China/Phlilipines/etc. coming on-line in the world. So many people producing so much great stuff & services. I think my fear is that this would mean America becomes third-world, instead of raising up other nations.

Anyway, last question for today - so this is freep (allegedly conservative) - what makes free-trade a conservative value?

79 posted on 08/04/2003 5:10:44 PM PDT by searchandrecovery (America will not exist in 25 years.)
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To: Texas_Dawg
How can you have free trade between a market that is free and one that is not?
80 posted on 08/04/2003 5:48:54 PM PDT by Cacophonous
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