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Obama proposes new economic recovery measures
Tue, Oct 14, 2008
Reuters

TOLEDO, Ohio, Oct 13 (Reuters) - U.S. Democratic presidential candidate Barack Obama on Monday proposed a series of new economic rescue measures, including temporary tax credits and penalty-free withdrawal from retirement accounts.

Obama's campaign released a fact sheet and excerpts from a speech he will give later in the day outlining the new economic proposals.

They include a temporary $3,000 tax credit to companies for each new job created in the United States over the next two years.

In addition, Obama proposed penalty-free withdrawals from some retirement accounts and a 90-day moratorium on foreclosures for homeowners who are living in their homes and making good-faith efforts to make their mortgage payments.

Obama also called on the Federal Reserve and the Treasury Department to set up a facility to lend to state and municipal governments, similar to the steps recently taken by the Federal Reserve to inject liquidity into the commercial debt market.

The plan also calls for temporarily eliminating taxes on unemployment insurance benefits and having the Fed and Treasury prepare for guaranteeing a broader range of liabilities of the banking system.

The Illinois senator also wants the Treasury to help unfreeze markets for individual mortgages, student loans, car loans, loans for multifamily dwellings and credit card loans.

Obama faces Republican rival John McCain in the Nov. 4 presidential election.

 

 
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