Greenspan supports US tax cuts

The chairman of the United States federal reserve, Alan Greenspan, has again voiced support for tax cuts.

Testifying to a Congressional committee, he said the projected budget surpluses for the years ahead were big enough to pay off some of the country's debt and still have money left for lowering taxes.

But Mr Greenspan refused to endorse the proposed size of President Bush's planned tax cuts of one point six trillion dollars over the next ten years.

Mr Bush is currently touring several American states to sell his plans to the voters.

From the newsroom of the BBC World Service