This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.

You can find the current article at its original source at http://www.bbc.co.uk/news/world-us-canada-23438908

The article has changed 7 times. There is an RSS feed of changes available.

Version 1 Version 2
Obama speech to urge 'refocus' on economy Barack Obama at Knox College: Reverse economic inequality
(about 3 hours later)
President Barack Obama is set to give what is billed as a major speech on the economy, setting the stage for an autumn budget battle with Congress. Reversing US economic inequality should be Washington's top priority, President Barack Obama has said, as an autumn budget battle with Congress looms.
He was expected to tout recent economic progress at Knox College, Illinois, without offering new policy proposals. He touted the slow but steady recovery in what was billed as a major economic speech at Knox College in Illinois.
On Monday, the president said he hoped to ensure Washington "refocuses" on the most important issues for Americans. The White House has framed the speech as an effort to refocus a distracted Washington on bread and butter issues.
Ahead of the president's remarks, opposition Republicans argued the country needed action, not speeches. But ahead of the president's remarks, opposition Republicans argued the country needed actions, not words.
In Monday remarks at a political fundraiser, Mr Obama, a Democrat, said Wednesday's speech would be "thematic", but added "concrete" proposals would follow. On Wednesday, Mr Obama returned to Knox College, where in 2005 in one of his first addresses as a newly elected US senator he discussed the economic forces that had depressed the US middle class.
"There's no more important question for this country than how do we create an economy in which everybody who works hard feels like they can get ahead and feel some measure of security," Mr Obama told supporters at the Washington DC fundraiser. "This growing inequality isn't just morally wrong - it's bad economics," Mr Obama, a Democrat, said on Wednesday.
"The key is to try to make sure that this town refocuses on the issues that matter most to people day to day." "When middle-class families have less to spend, businesses have fewer customers. When wealth concentrates at the very top, it can inflate unstable bubbles that threaten the economy."
'Cooked-up road shows' 'Making things worse'
And on Wednesday morning ahead of Mr Obama's remarks, White House press secretary Jay Carney said Republican lawmakers had recently been distracted by "phony scandals". Mr Obama said he believed that technology and globalisation, the declining power of labour unions, and the rise in tax incentives for corporations and the wealthy had led to wage stagnation and the "decades-long erosion" of middle-class security.
Mr Carney was referring to unproven allegations the White House had directed tax authorities to target conservative political groups for extra scrutiny, and Republican insinuations the White House had mislead the public about a deadly attack last year on the US consulate in Benghazi, Libya. But the president said America had seen a stronger economic recovery than other nations, crediting his administration's efforts to rescue the US automobile industry, overhaul the healthcare system, and invest in renewable energy.
Mr Obama added that the US now produced more natural gas than any other country and that the US would soon produce more oil than it imported.
He appealed for greater public investment in infrastructure and education.
"If you think education is expensive, wait until you see how much ignorance costs in the 21st Century," Mr Obama said.
And he said the US had to adapt if it wanted to remain competitive in the global economy, quipping that many of America's bridges were old enough to collect public pensions.
"The businesses of tomorrow won't locate near old roads and outdated ports," he said. "They'll relocate to places with high-speed internet, high-tech schools, systems that move air and auto traffic faster, not to mention get parents home to their kids faster."
The president also accused Republicans, who control the House of Representatives, of manufacturing an "endless parade of distractions, political posturing and phony scandals", rather than address big issues.
"Over the past couple of years in particular, Washington hasn't just ignored the problem; too often, it's made things worse," he said.
'Sitting on sidelines'
He accused Republicans of attacking the budget with a "meat cleaver called the sequester", referring to a round of deep spending cuts that took effect earlier in the year.
Mr Obama said that by contrast, his own approach would "reduce our deficits with a scalpel - by cutting programs we don't need, fixing ones we do, and making government more efficient".
The president added Republicans in the House of Representatives had blocked or delayed key pieces of legislation, including immigration reform.
Republicans, meanwhile, launched their own offensive in advance of Mr Obama's speech in Illinois.Republicans, meanwhile, launched their own offensive in advance of Mr Obama's speech in Illinois.
"If Washington Democrats were really serious about turning the economy around," said Senate Minority Leader Mitch McConnell, "they'd be working collaboratively with Republicans to do just that, instead of just sitting on the sidelines and waiting to take their cues from the endless political road-shows the president cooks up whenever he feels like changing the topic.""If Washington Democrats were really serious about turning the economy around," said Senate Minority Leader Mitch McConnell, "they'd be working collaboratively with Republicans to do just that, instead of just sitting on the sidelines and waiting to take their cues from the endless political road-shows the president cooks up whenever he feels like changing the topic."
And House Speaker John Boehner said: "Welcome to the conversation, Mr President. We've never left it."And House Speaker John Boehner said: "Welcome to the conversation, Mr President. We've never left it."
In recent days the Republican National Committee has promoted the Twitter hashtag #SpeechesDontHire.In recent days the Republican National Committee has promoted the Twitter hashtag #SpeechesDontHire.
Budget battle ahead
After speaking at Knox College, the president will travel to the University of Central Missouri in Warrensburg. On Thursday he is to speak in Jacksonville, Florida.After speaking at Knox College, the president will travel to the University of Central Missouri in Warrensburg. On Thursday he is to speak in Jacksonville, Florida.
Sidetracked The string of speeches is intended to highlight the economic recovery under his administration to the public and to build support for Mr Obama's agenda ahead of a budget deadline in the autumn.
The string of speeches is intended to highlight economic success to the public and to build support for Mr Obama's agenda ahead of a budget deadline in the autumn.
The US economy has slowly but steadily recovered since the depths of the recession in 2009-10. The unemployment rate stands at 7.6%, down from near 10% in January 2010.The US economy has slowly but steadily recovered since the depths of the recession in 2009-10. The unemployment rate stands at 7.6%, down from near 10% in January 2010.
On 1 October the current fiscal year expires and the White House is eager to avoid a showdown with Republicans over spending, analysts say.On 1 October the current fiscal year expires and the White House is eager to avoid a showdown with Republicans over spending, analysts say.
Around that time the US is also due to reach the limit of its authority to borrow money to finance the government's budget deficit.Around that time the US is also due to reach the limit of its authority to borrow money to finance the government's budget deficit.
Mr Obama's economic agenda was sidelined at the start of his second term, as he focused on issues such as gun control and immigration.Mr Obama's economic agenda was sidelined at the start of his second term, as he focused on issues such as gun control and immigration.