BBC Homepage World Service Education
BBC Homepagelow graphics version | feedback | help
BBC News Online
 You are in: In Depth: US Elections: Issues
Front Page 
World 
UK 
UK Politics 
Business 
Sci/Tech 
Health 
Education 
Entertainment 
Talking Point 
In Depth 
AudioVideo 

Tuesday, 17 October, 2000, 10:08 GMT 11:08 UK
Campaign issues: The economy
What they say
BUSH GORE
Return budget surplus to taxpayers Focus on eliminating national debt by 2012
Encourage entrepreneurs Target tax cuts
Reduce state regulation of private sector
Create 10 million new hi-tech, high skills jobs

The record of the US economy under the Clinton presidency has been stunning.

Unemployment is lower than at any time since the 1960s and despite rampant consumer spending inflation has continued to remain low.


The Gore-Lieberman economic plan has one guiding purpose: to help the middle-class families who have always been America's purpose and pride

Al Gore
Democratic party candidate
But by far the most visible aspect of the 1990s boom has been the massive rise in share prices on Wall Street with the Dow Jones average rising from the low 3,000s to well over 10,000.

There has been much debate as to what exactly caused the 1990s boom and how it has lasted so long. Inevitably politicians have tried to claim much of the credit.

Republicans attribute it to the supply side reforms and tax cuts President Reagan passed in the 1980s.

President Clinton and his supporters point to the 1993 economic plan which opted for reducing the budget deficit rather than tax cuts and higher spending, helping to create an economic climate conducive to sustained growth.

Economists meanwhile argue that what is in fact at work is a "new economy", changing the fundamentals upon which America generates its wealth.


I will transform America into one vast enterprise zone by getting big government out of the way of free enterprise

Pat Buchanan
Reform party candidate
They argue that the impact of technology - such as the advent of e-commerce - combined with increased globalisation, boosting trade and opening new markets for American products, has been the key to increased productivity.

Proponents of this school of thought believe that these developments put the economic nirvana of steady growth, low inflation and low unemployment within reach, meaning that the economy can grow above its long term trend rate without igniting inflation.

Pessimists however argue that the standard business cycle still applies and what has been happening is little more than an old fashioned boom with a downturn due to kick in soon.

Search BBC News Online

Advanced search options
Launch console
BBC RADIO NEWS
BBC ONE TV NEWS
WORLD NEWS SUMMARY
PROGRAMMES GUIDE

Inauguration:

Bush presidency:

PICTURE GALLERIES

Texts and transcripts:

AUDIO VIDEO

TALKING POINT
ELECTION FACT FILES
Who's who
What's at Stake
State Profiles
Parties
Calendar
Links to more Issues stories are at the foot of the page.


Links to more Issues stories