With unprecedented speed and cooperation, Congress and the White House forged a deal to inject around US$150 billion into the US economy in a move to rejuvenate it and ease turmoil that the US' problems spawned in the world's markets.
Few developments were expected yesterday as lawmakers digested Thursday's announcement of an agreement between House Speaker Nancy Pelosi, Republican leader John Boehner and Secretary of the Treasury Henry Paulson that is intended to stave off the first recession since 2001.
The Senate very often wins its battles with the House. But now, with the power of the administration of US President George W. Bush behind them, House leaders are optimistic that their simply drawn measure would prevent the Senate from making significant changes such as extending unemployment benefits.
The US economic problems stemmed from a collapse of housing prices, escalating oil prices and tight credit related to the housing disaster. The domestic and foreign turmoil that followed made the economy replace the war in Iraq as a chief worry of US voters as the presidential nomination campaign heats up.
As the possibility of economic recession became more plausible, lawmakers eagerly jumped at a chance to ward off the financial collapse threatened during an election year.
The package passed on Thursday features tax rebates of US$600 to US$1,200 to most tax filers within six months in the hope they will spend the money quickly and jolt the ailing economy to life. Businesses would get US$50 billion in incentives to invest in new plants and equipment.
"This package will lead to higher consumer spending and increased business investment," Bush said in hailing the agreement on Thursday.
The bill will go straight to the House floor next week and on to the Senate, where some Democrats hope to add elements such as extending unemployment benefits.
Indeed, many Democrats, such as House Ways and Means Committee Chairman Charles Rangel, and Senator Edward Kennedy, the liberal lion of the Senate, were deeply unhappy that Pelosi agreed to jettison that proposal in late-stage talks, along with plans to increase food stamp payments.
"I do not understand, and cannot accept, the resistance of President Bush and Republican leaders to including an extension of unemployment benefits for those who are without work through no fault of their own," Rangel said.
Also see: S&P warns of rise in distressed corporate debt
Also see: Investors in Asia boosted by Wall Street's advances
CREDIT-GRABBER: China said its coast guard rescued the crew of a fishing vessel that caught fire, who were actually rescued by a nearby Taiwanese boat and the CGA Maritime search and rescue operations do not have borders, and China should not use a shipwreck to infringe upon Taiwanese sovereignty, the Coast Guard Administration (CGA) said yesterday. The coast guard made the statement in response to the China Coast Guard (CCG) saying it saved a Taiwanese fishing boat. The Chuan Yu No. 6 (全漁6號), a fishing vessel registered in Keelung, on Thursday caught fire and sank in waters northeast of Diaoyutai Islands (釣魚台). The vessel left Keelung’s Badouzih Fishing Harbor (八斗子漁港) at 3:35pm on Sunday last week, with seven people on board — a 62-year-old Taiwanese captain surnamed Chang (張) and six
RISKY BUSINESS: The ‘incentives’ include initiatives that get suspended for no reason, creating uncertainty and resulting in considerable losses for Taiwanese, the MAC said China’s “incentives” failed to sway sentiment in Taiwan, as willingness to work in China hit a record low of 1.6 percent, a Ministry of Labor survey showed. The Directorate-General of Budget, Accounting and Statistics (DGBAS) also reported that the number of Taiwanese workers in China has nearly halved from a peak of 430,000 in 2012 to an estimated 231,000 in 2024. That marked a new low in the proportion of Taiwanese going abroad to work. The ministry’s annual survey on “Labor Life and Employment Status” includes questions respondents’ willingness to seek employment overseas. Willingness to work in China has steadily declined from
The Legislative Yuan’s Finance Committee yesterday approved proposed amendments to the Amusement Tax Act (娛樂稅法) that would abolish taxes on films, cultural activities and competitive sporting events, retaining the fee only for dance halls and golf courses. The proposed changes would set the maximum tax rate for dance halls and golf courses at 50 and 20 percent respectively, with local governments authorized to suspend the levies. Article 2 of the act says that “amusement tax shall be levied on tickets sold or fees charged by amusement places, facilities or activities” in six categories: “Cinema; professional singing, story-telling, dancing, circus, magic show, acrobatics
The number of pet cats in Taiwan surpassed that of pet dogs for the first time last year, reaching 1,742,033, a 32.8 percent increase from 2023, the Ministry of Agriculture said yesterday, citing a survey. By contrast, the number of pet dogs declined slightly by 1.2 percent over the same period to 1,462,528, the ministry said. Despite the shift, households with dogs still slightly outnumber those with cats by 1.2 percent. However, while the number of households with multiple dogs has remained relatively stable, households keeping more than two cats have increased, contributing to the overall rise in the feline population. The trend
RSS